Gold has been traded globally for millennia and remains one of the most popular assets today due to its status as a safe-haven investment, an inflation hedge, and a symbol of wealth. With its high liquidity, gold is a key component of diversified portfolios. In December 2023, gold prices reached record highs of over $2,145 per ounce, with forecasts of further gains in 2024. Let’s explore how to trade gold on MetaTrader 5 (MT5).

How to Add XAU/USD on MT5 & MT4

Given gold’s popularity, most brokers include XAU/USD (the symbol for gold trading) by default in the “Market Watch” tab on MetaTrader 4 (MT4) and MetaTrader 5 (MT5). However, if it’s not listed, here’s how to add it:

1. Open MT4/MT5.
2. Right-click anywhere in the “Market Watch” tab and select “Symbols” or press CTRL + U.
3. Locate “Gold” in the list.

Tips:-

• Alternatively, you can click the green “+” in the bottom-left corner of the “Market Watch” tab and search for XAU/USD or “Gold.”
• Right-click anywhere in the “Market Watch” tab and select “Show All” to display every available asset from your broker.

Understanding the XAU/USD Chart on MT4 & MT5

Key features of the XAU/USD chart include:-

• The X-axis represents time.
• The Y-axis represents price.
• Choose from various chart types (bar, line, or candlestick).
• MT5 offers over a dozen timeframes for analysis.
• One-click trading is available in the top-left corner of the chart.
• A standard lot of XAU/USD represents 100 ounces of gold.

Pros & Cons of Trading Gold on MetaTrader

To effectively trade gold on MT5, it’s essential to understand both the advantages and potential challenges of using MetaTrader.

Pros of Trading Gold on MetaTrader:

• Widely available through most brokers.
• Supports algorithmic and copy trading.
• Mobile trading capabilities.
• Multiple gold pairs available.
• Advanced technical analysis tools.

Cons of Trading Gold on MetaTrader:

• Requires proper education to use effectively.
• The user interface may feel outdated.

How to Trade Gold on MT5

While traders may approach gold trading differently, some key principles apply to most strategies.

Maximizing Your Success in Gold Trading:

Learning to trade gold on MT5 can be straightforward, but mastering it requires time and effort. Here are some tips for increasing your chances of success:

• Invest in Education: Take time to learn the fundamentals and technical aspects of gold trading.
• Monitor Influencing Factors: Gold prices are affected by geopolitical events, interest rates, global economic data, and the US Dollar.
• Understand Risk Management: Be mindful of the relationship between leverage and risk.
• Use Key Trading Tools: Learn how to set entry and exit points, stop losses, and take-profit levels.
• Trade with Adequate Capital: Ensure you have sufficient capital and adjust your lot size accordingly.

Bottom Line

Trading gold on MT5 presents numerous opportunities for portfolio diversification, profiting from price movements, and benefiting from deep liquidity. However, the volatility of gold prices, driven by various global factors, makes it a more complex asset to trade. Beginners must dedicate time to education before trading gold. MT5 remains an excellent platform for gold trading, offering advanced technical analysis tools and support for algorithmic strategies.