There are numerous financial instruments available to trade with including currency pairs, CFDs and gold. Since gold usually maintains its value even in the most turbulent economic circumstances, many traders resort to gold as it is considered a ‘safe haven’ asset.
Online gold trading has become incredibly popular in recent years as it is considered one of the easiest and cheapest ways to make a profit. Read on for 6 things you need to know before trading gold…
- Don’t Buy Too Much
Although gold is typically considered a safe haven asset, its price can still be volatile, so only invest up to 5% of your portfolio in gold. Think about diversifying your portfolio so that if one investment fails to perform well, there are always others to fall back on.
- Keep Up-To-Date with Forex News
Watch the latest forex news to remain afloat of the most recent market updates. Take a number of factors into account including inflation, GDP and interest rates to gain a better understanding of price movements. This will help you to refine your trades and make more strategic trading decisions.
- Perform Technical Analysis