Gold trading and investment has become one of the most important types of trade specially with these economic fluctuations, because of its profitable returns.
And as it’s as a precious currency and not just metal, gold can be bought and sold directly through electronic trading over the Internet.
Factors affecting the price of gold:
The price of the yellow metal is influenced by many factors that each investor must take a full care of them, surrounds and studies them thoroughly. For example:
- Financial crises.
- Supply and demand of gold.
- Political events and wars.
- Affected by reducing or increasing production.
- Economic data published by the United States of America.
- And the political, economic and social changes of producing and consuming countries.
SupportLine provides sufficient information to investors about these factors to be fully aware and investors should also be careful and not reckless.
Safety standards
Gold is a safe way to invest as it keeps its price over time even through economic, social and natural disasters.
Although it is affected by these factors, but this is a slight impact compared to the rest of the currencies that can reduce prices and suffered heavy losses.
The demand for gold is increasing, according to the opinion of most financial analysts around the world, stressing that gold will achieve great success in all markets and trading at this stage is an opportunity will never compensate.
And now because of its current low prices and the movement of financial markets, everyone is asserting that prices will rise to the sky.
The relationship between gold and currencies
There is a direct relationship between gold and the US dollar as they are mainly linked to their negative relationship, that is, gold is directly affected by most of the data and events affecting the US economy. Therefore, the price of the dollar can be taken as an indicator of the price of gold. The market price of gold and vice versa.