Gold Trading: What You Must Know and Remember!

Gold is up 7.12% over the past month, reflecting the lack of confidence in fiat currencies. This emphasizes the importance of risk management in trading!

 Key influencing factors:

Fed monetary policy: The gold market is reacting to expectations of Fed interest rate changes, predicting a possible rate cut in the second half of 2024.  The political situation in the US: the election campaign and the Biden administration's calls for rate cuts are affecting the market, increasing demand for gold as a safe-haven asset.
 The global fight against inflation: Reports on central banks' fight against inflation also shape gold prices.
Central banks in Turkey, China, India, Kazakhstan, Jordan, and the Czech Republic actively buy gold in 2024.

Risk Management Recommendations:

Position Size Control: Limiting the size of the deposit per trade to 2-10% of the total portfolio helps minimize potential losses.
Stop-loss orders: Don't forget to use them to protect capital from unexpected market movements!!!
Portfolio Diversification: Reduce overall risk by trading in a variety of assets.

Gold Trading Strategies:

Trend Trading: Utilize long-term trends to determine when to buy or sell. Sometimes, it pays to trade strictly on the trend. Considering the current situation, we are in a trending market.
Indicators: Technical analysis tools such as moving averages, RSI, and MACD are used to identify potential entry and exit points. Detailed usage can be found in the articles below.
Correlations with currency pairs: Attention to correlations with currency pairs such as AUDUSD is vital for gold-producing countries.

Boost your gold trading strategy with our essential strategy guide

Gold trading strategies

And don't forget to read more about risk management:

Risk management

Overall, successful gold trading requires traders not only knowledge of market specifics and the ability to analyze economic indicators but also to quickly adapt to changing conditions while maintaining strict risk control.

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#survey

Hello, dear traders! Do you know: In which century was the world's first stock exchange created?

14th
17th
18th
20th

Write your answer in the comments.