A
Ask Price
The price at which a broker will sell XAU/USD to you. This is the price you BUY at.
ATR (Average True Range)
A volatility indicator showing how much gold moves on average over a set period. Useful for setting realistic stop losses.
B
Bear Market
A sustained downward trend in price. In a bear market, experienced traders look to sell (short) gold rather than buy it.
Bid Price
The price at which a broker will buy XAU/USD from you. This is the price you SELL at. The difference between Bid and Ask is the spread.
Bull Market
A sustained upward trend. In a bull market, buying pullbacks on gold tends to be the most profitable strategy.
C
Candlestick
A chart element showing the open, high, low, and close price for a given time period. Green candles = price rose. Red candles = price fell.
CPI (Consumer Price Index)
A key inflation measure. Rising CPI often pushes gold higher as investors seek inflation protection.
E
EMA (Exponential Moving Average)
A moving average that gives more weight to recent prices. The 20, 50, and 200 EMAs are the most important for XAU/USD analysis.
Entry Price
The price level at which you open a trade. SR Gold signals always include a precise entry zone.
F
Fibonacci Retracement
A technical tool using key ratios (23.6%, 38.2%, 61.8%) to identify potential support and resistance levels on a chart.
FOMC
Federal Open Market Committee — the body that sets US interest rates. Their decisions are one of the biggest drivers of gold price movements.
G
Gold (XAU)
ISO currency code for gold. XAU/USD represents the price of one troy ounce of gold in US dollars.
L
Leverage
Borrowed capital that amplifies your trading position. 1:100 leverage means a £100 deposit controls a £10,000 position. Increases both profits and losses.
Liquidity
How easily an asset can be bought or sold without affecting its price. Gold has very high liquidity — one of the reasons it's popular for trading.
Long / Buy
Opening a trade expecting the price to rise. If you go long on XAU/USD at 4,200 and price rises to 4,250, you profit $50 per troy ounce.
Lot Size
The volume of your trade. A standard lot = 100 oz of gold. A mini lot = 10 oz. A micro lot = 1 oz. Beginners should start with micro lots (0.01).
M
MACD
Moving Average Convergence Divergence — a momentum indicator that shows whether bullish or bearish momentum is accelerating.
Margin
The deposit required by your broker to open a leveraged position. If your trade loses enough to eat through the margin, a margin call closes it automatically.
N
NFP (Non-Farm Payrolls)
Monthly US jobs report released the first Friday of each month. One of the highest-impact events for XAU/USD — expect large, fast moves.
P
Pip
The smallest standard price increment. For XAU/USD, 1 pip = $0.01 (one cent). A 100-pip move = $1.00 per troy ounce.
Position Size
How many lots you trade. Calculated based on your account size, stop loss distance, and risk percentage to ensure you only risk 1–2% per trade.
R
Resistance
A price level where selling pressure historically emerges and price tends to reverse downward. SR Gold analysis identifies resistance before placing trades.
Risk:Reward Ratio
How much you risk versus how much you stand to gain. A 1:3 R:R means risking £100 to potentially earn £300. Always aim for at least 1:2.
RSI (Relative Strength Index)
Momentum oscillator from 0–100. Above 70 = overbought (price may fall). Below 30 = oversold (price may rise). Used alongside EMA analysis in SR Gold signals.
S
Short / Sell
Opening a trade expecting price to fall. You profit when XAU/USD declines. Beginners find this counter-intuitive but it works exactly like a Buy in reverse.
Spread
The difference between the Bid and Ask price — effectively the broker's fee per trade. XAU/USD typically has a spread of $0.20–$0.50 depending on the broker.
Stop Loss (SL)
A pre-set price level that automatically closes your trade to prevent further losses. Always set before or at the same time as opening a trade.
Support
A price level where buying pressure historically emerges. Price approaching support is often a good area to look for buy signals.
T
Take Profit (TP)
A pre-set target price where your trade automatically closes and profit is locked in. SR Gold signals include up to 3 TP levels per trade.
Troy Ounce
The unit of measurement for gold. One troy ounce = 31.1 grams. XAU/USD pricing is always per troy ounce.
X
XAU/USD
The trading symbol for spot gold priced in US dollars. X = commodity, AU = gold (Aurum), USD = US Dollar. This is the primary pair SR Gold analyses.