TECHNICAL LOOK ON THE GROWTH OF METALS: FOREIGN EXCHANGE IN INDIA

TECHNICAL LOOK ON THE GROWTH OF METALS: FOREIGN EXCHANGE IN INDIA

Hello, India. Today I am going to familiarize you with one of the unique phenomena, occurring in Forex. It is Diamond pattern.

The Diamond figure is a rare graphical model in technical analysis and especially in Forex market. Sometimes it is called Diamond Pattern. The structure of the Diamond shaped pattern has the exact form of the precious stone, from here comes its name – Diamond. In case of its right identification Forex trader can make quite huge profits.
As a classic graphical figure the shape of Diamond is formed from divergent and convergent trend lines, which are parallel to each other.
Recently the current figure could be noted on 4-hour graphic of new instrument XAUXAG, which is gradually becoming more and more popular among Forex traders.
At the end of 2012 the prices of Gold and Silver remarkably fell. The descent of metals have started since the beginning of October: Gold fell from 1795.78USD to 1625.80USD per ounce, and Silver fell from 35.36USD to 29.21USD. You can find the detailed information about the results of the investigation on IFC Markets website, which offers a unique trading instrument, XAUXAG. Traders do not need to make transactions on pairs XAUUSD or XAGUSD, they can trade with XAUXAG (Gold versus Silver).

Example: