Spot gold can be operated in both directions, that is, it can be bought up or down, and it can be long or short. In fact, there are long and short transactions in any market. Isn't there a saying that "short sellers don't die, and many parties don't stop"?

It is easy to understand that if you do more, you will buy more, and if you buy less, you will sell more. If you buy gold, it goes up and you make money. On the contrary, if it falls, you will lose.

Short selling means buying down, which means selling high and buying low. You buy down, gold falls, you make money, gold goes up, and you lose money. This trading method is like short selling in stocks. Only institutions can do it, that is, institutions can deposit securities in brokers, borrow shares from brokers or listed companies and sell them, and then buy them back to brokers after suppressing prices, thus earning the difference. For example, when a stock is in 40 yuan, institutions can borrow 1 100 million shares from brokers with a margin of 1 100 million, and then buy 65438+ when the stock falls to 20%. The same is true of gold shorting. I don't know if you understand this.