With the wave after wave of investment boom in the gold market, spot gold is increasingly favored by investors, so what are the introductory knowledge of spot gold trading?
1. What is spot gold trading?
Spot gold trading is a kind of contract trading based on the principle of capital leverage. The right to buy 100 ounces of gold at the price of one ounce according to the trading standards of the international gold deposit contract. Use the trading right of 100 ounce of gold to buy up and sell down, and earn the difference profit in the middle. And if you make up the difference, you can extract physical gold. Minimum 100 ounce.
The so-called spot gold trading, in layman's terms, is to buy and sell with the rise and fall of gold prices and profit from the price difference. It is a contractual spot gold transaction based on the leverage principle, which is simply a margin transaction. According to the real-time market of the international gold market, it is a leveraged investment model of two-way trading through the Internet. Flexible two-way trading of investment means that investors can buy gold to rise or fall, so that no matter how the price of gold changes, investors always have a chance to make a profit. The online trading platform is convenient, fast and accurate.
2. What are the spot gold transactions?
There are several ways to trade spot gold: 1. Real gold deal. 2. Paper gold trading. 3. Gold futures trading. 4. Leveraged spot gold trading. At present, the hottest and most profitable transaction on the market is the fourth transaction? Leveraged spot gold trading is a contract spot gold trading based on leverage principle, which is simply margin trading. According to the real-time market of international gold market, the leveraged investment mode of two-way trading through the Internet. Flexible two-way trading of investment means that investors can buy gold to rise or fall, so that no matter how the price of gold changes, investors always have a chance to make a profit. The online trading platform is convenient, fast and accurate.
T+0 trading mode is adopted. After understanding this concept, people may be most concerned about its profitability and risk.
First, profit. Since it is the principle of leverage, it means enlarging investment funds. For example, if the price of gold is $600 per ounce, you need $60,000 for one hand (100 ounce for one hand). If you use margin trading, you only need to pay a deposit of 1000 dollars, that is, the deposit of 1000 dollars actually operates a trading right of 60,000 dollars. At this time, the profit will be enlarged. Equivalent to 60 times magnification. More importantly, you can make a lot of money whether the price of gold goes up or down. If you go long (buy up), when the price of $600 per ounce rises to $605 per ounce, your first-hand profit is (605-600) *100 = $500. When you close the position, the deposit of $ 1000 will be returned to your account. If you are short (buy down), when the price of $605 per ounce drops to $600 per ounce, your profit will be (605-600) *100 = $500. When you close the position, the deposit of $ 1000 will be returned to your account. Some people will say, "If the profit is enlarged, the risk will be enlarged." Actually, no.
Second, risk. Of course, there are risks in investment, but the risk control right is in the hands of investors themselves, that is, to control risks according to their own wishes. This is also an important feature of spot gold trading. Stop loss point: investors can set the amount of losses they can bear according to the online trading platform. When the judgment is wrong, the system will automatically close the position within the amount you set, and strictly control the risk!
Third, the world's major spot gold markets
1. London gold market
London gold market has a long history and is also the main spot market in the world, which is composed of five major gold trading companies. Before World War II, London was the largest gold market in the world, with a huge trading volume, accounting for about 80% of the world's trading volume. This is the only market in the world where tons of gold can be bought.
2. Zurich Gold Market
Zurich gold market is a worldwide free gold market developed after World War II. It is centered on the three major Swiss banks and jointly manages gold. Unlike gold traders in London, they not only act as brokers, but also have a large amount of gold reserves for gold trading.
3. New York Gold Market
The New York gold market is currently the largest gold futures market in the world. Every year, two-thirds of gold futures contracts are traded in new york, but the transactions are full of moisture and speculation. The development history of the gold market in New York is short, but the development speed is quite fast. The daily trading volume reaches 30,000-40,000, and the turnover is about 70 tons of gold. 1980, the New York gold market traded 800 million ounces, about 25,000 tons of gold, while the world gold supply was only 1700 tons per year.
4. Hong Kong Gold Market
The gold market in Hong Kong has a history of over 70 years. Since 1960s, Hong Kong's gold market has developed into a major gold trading center in the world. 1987 The total value of gold imports reached186 billion Hong Kong dollars, an increase of 273.5% compared with 1986. In the same period, the gold turnover increased from HK$ 123 1 100 million to HK$ 3.710.40 billion, an increase of 300%.
Four, spot gold trading participants
Participants in the international gold market can be divided into international gold dealers, banks, gold dealers, hedge funds and other financial institutions that play a huge role in gold futures trading, various legal entities, private investors and brokerage companies.
Thank you for your adoption.