With a sharp surge in gold prices over the
past few years, gold trading has been gaining in popularity throughout the
world. Nowadays, one can easily find numerous gold trading tips listed online.
Every expert has something new to say, but if you are really serious about
getting the most out of your investment, take a look below at 3 basic things
every gold trader must know before investing in gold:
·
Purchase Gold in Physical form:
One of the best possible ways of investing in gold is through ownership of gold
coins and bars. Not only does it offer genuine money value returns, but at the
same time you’ll feel a lot more relaxed by knowing that you’ve something that
can be exchanged for money anytime as and when required. Plus, gold being so
valuable, you can expect to get high returns by holding physical gold for a certain
period of time. Unlike Gold stocks, gold trading in physical form is much more
secured and promises genuine returns, though it takes a longer time to show the
results compared to the gold stocks. However, it’s always recommended to go for
the slower but a safer mode instead of opting for the faster but highly
volatile risky modes.
·
Spot Gold Trading: Market
experts nowadays prefer Online Gold trading simply because it’s probably the
quickest and most secured way of gold trading. Firstly, by trading online, you
won’t need any storage space. Adding to this, even if you are working with a
limited capital, you can effectively make full use of steep leverage rates that
your broker offers you. Moreover, this will also ensure that even if gold price
drops suddenly, you can still make profits by selling your gold contract.
People mostly fail in spot trading because they never take money control in
hand and are often over-leveraged. These are the things that must be avoided
under any circumstances which is always suggested by Doug Mears.