Gold Trading

Commodities have been increasingly popularly traded instruments in CFD trading over the past years. The Commodities markets have provided access for traders to gold and to silver markets as well as to other precious metals. What boosted this trade after 2008 was considering precious metals as a safeguard against all kinds of trading risks and this tendency is still valid.

Moreover, at the early stage of chip manufacturing over the last years, chip manufacturing companies used a lot of gold. As gold became more and more expensive, its trade grew on the markets. In result over the last five years the price of gold has risen from 300$/oz to nearly 2000 $/oz.

Gold, silver and other precious commodities became available to trade with many trading platforms online. Unlike the past when only institutions could participate in gold trading, this trade today is accessible to all. Precious metals markets are among the most active markets, benefitting from the advance of technology brought by foreign exchanges and giving the possibility to traders to benefit from the futures contracts.

To sum up, forex brokers have provided gold trading platforms, allowing traders to place orders for selling or buying gold and thus opening new prospects to gold investment. CFD trading contributes, enabling speculation on the market movements. Actually the contracts are bought and sold, instead of the physical shares, and there is an agreement between the buyer and seller to swap the difference in value at the closing of the contract.