What's Chart Setup Break Out Chart Setups in XAUUSD?

Trading Gold Identify a Pattern Breakout Pattern in XAUUSD

The Best Patterns Tutorial for Beginner Trader Traders - How to Identify & Trade Chart Setup Break Out Chart Pattern

Patterns for Day Trading - Setups Guide

This Chart Setup Break Out patterns charts tutorial explains how to identify chart patterns - spotting chart patterns is the first step when it comes to learning how to trade with Chart Setup Break Out chart patterns in XAUUSD.

Chart Setup Break Out price patterns commonly form on charts and this chart pattern analysis guide explains how to trade and analyze charts using Chart Setup Break Out trading chart patterns.

Chart Pattern Break Out

The consolidation pattern can't go on forever & just like in a tug of war one side eventually wins, looking at the chart below see how the consolidation pattern eventually had a break out and moved in one direction. Now how do we as traders ensure that we are on the side that's winning?

Pattern Break Out Downwards Sell Signal after a Consolidation Setup

Pattern Break Out Upwards Buy Signal after a Consolidation Setup

Now back to the question, how do we make sure we are on the side that's winning?

Well we wait until price moves past one of the consolidation setup lines & put buy or sell orders in that direction. After consolidating, If price breaks-out upper line we buy, if it breaks out lower line we open sell.

Alternatively if you don't want to wait out the consolidation pattern, you can use pending orders. If you would want to learn more about pending orders navigate to the lesson: XAUUSD Stop Entry Order Types

The two types of xauusd stop order types used to trade consolidation patterns are:

• Buy Entry Stop An order to buy at a point above market price - after an upward price break out.

• Sell Entry Stop An order to open sell at a point below market price - after downwards price break out.

These are orders to buy above the market or to open sell below the trading market.