The correlation between interest rates and the trend of XAUUSD

1 January 2025, 05:13
Trung Duc Van
0
217

You may have never heard of it or never looked into it, because I think most of us use indicators to trade, meaning technical analysis. Another reason is that if you use news to trade, you won't have enough time. So how is fundamental analysis used? We have a concept related to interest rates, but that information is not easy to find, so I won't mention the specific details here

Interest Rate

Information from large liquidity providers is reported daily to align with predicting future trends of XAUUSD (USD). So, what is the correlation here?

We are trading quite simply but with impressive effectiveness by combining technical analysis with interest rates. Whenever the interest rate (IR) increases, we predict that gold will rise strongly on that day, and vice versa. This approach is applied in two main trading systems: Golden Buffalo Channel Rate and Golden Lab.

When trading on MQL5, many hackers have been targeting these systems, but without a license to connect to the interest rate, they only have access to the Experts, which are 100% based on technical analysis, increasing the risk twofold.

This is a great solution to prevent fraud, backed by our team with 15 years of experience in the Forex field.

Unfortunately, I must inform you that the price for each license connected to the interest rate will be an additional $500. Alternatively, you can obtain it (after purchasing the Expert) and place it under our IB (Introducing Broker) with several major brokers.

We have two key points:

  1. Buffalo has the highest profit potential of all trading systems, but it’s best traded on a free swap account.
  2. Golden Lab can be traded on any broker.

Input Panel

lab

No rate : use 100% technical analysis

Interest rate (channel rate) : interest rate will confirm trend, Technical confirm entries/exits

The key to this trading system is its connection to a USD deposit interest rate indicator system to decide when to buy or sell, combined with technical analysis to find entries and set short-term resistance levels for SL.
Technical analysis accounts for 30%, while 70% comes from indicators that cannot be backtested, as they are future indicators.

This means: the future coefficient determines whether to buy or sell, while technical analysis determines the entry. However, when backtesting, we can only see all possible entry points, but in the future, an entry from technical analysis may be rejected if the trend is reversed.
This means:

  • Buy trend + Buy entry = Buy,
  • Sell trend + Buy entry = Empty...

2 signals from Interest Rate : 

- Golden Buffalo Channel Rate : https://www.mql5.com/en/signals/2233807

- Golden Lab AI (many options ) : https://www.mql5.com/en/signals/2279831

Buffalo

!!!