Gold (XAU/USD): MACD Signal: Buy at 1618,05

By Roger Baettig | July 05 2012 3:22 AM

Date: 05.07.2012 MACD Crossover at: 02:00 AM EST Signal: Buy Action: Market Order opened Stop Loss: 1613,05 Take Profit: When the next crossover of the MACD line and the signal line occurs.

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(Chart done with FXCM)

MACD-Indicator: The MACD line is nothing else than the difference between the 26 EMA and the 12 EMA. The Signal line is the 9 EMA of the MACD line. The Histogram shows the difference between the Signal line and the MACD line.

MACD-Crossover: On the hourly chart I check after each hour the MACD. We have a signal when the MACD Line crossed the Signal Line. I open a market order in the direction of the signal and stay in the trade until I get a signal in the opposite direction.

Risk Management: My stop loss is at the previous low in case of a buy and at the previous high in case of a sell.

Money-Management: For each trade I risk LESS THAN ONE PERCENT.

Exit: I exit the trade when I get a signal in the opposite direction.

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