How Do You Trade Breakouts using Trend Lines?
Xauusd trendline break outs are signals that can be used to trade reversal break out signals.
The breakout setups commonly used to trade the market are:
The trend line break out is a reversal signal where the market goes through the trend line & starts going in the opposite direction.
Trendline Break Out Technical Analysis
When an up trend-line is broken then sentiment of the market reverses & becomes bearish
Upward Trend Line Break Out - Upward Trend Line Break Out Technical Analysis
Trendline Break Out Technical Analysis
When a down trend-line is broken then sentiment reverses and becomes bullish
XAUUSD Down Trend Trend Line Break Out - Downward Trend Line Break Out Technical Analysis
NB: for very strong trends, after this trend-line break out signal, the price will consolidate for some time before going in the opposite direction of the market trend. For short term trends then this trend line break out signal will mean price may reverse direction immediately.