Gold Trading Secrets

January 31, 2011 · Posted in Buying Krugerrand Coins · 25 Comments

There are many ways to invest in gold. Unlike other physical commodities, gold can be stored to have its value preserved or increased over time. One investment method unique to gold is to buy it. You can buy gold bars, bullion and coins and store them in a safe place as an investment. No other commodity gives you this unique opportunity. Try to buy coal, crude oil or copper and store it!

One of the easiest ways to invest in gold is to buy gold coins. Gold coins are better than gold bars as you can buy or sell them in smaller units. Most popular gold coins are the Gold Eagle (issued by the US Government), Gold Maple Leaf (issued by the Royal Canadian Mint) and Gold Krugerrand (issued by South African government).

In many countries, people buy gold jewelry for the dual purpose of adornment and investment. Now, gold certificates are a hybrid instruments that allow you to own physical gold without actually taking possession of it. As the name implies, gold certificate certifies that you own a certain amount of gold which is usually stored in a safe location on your behalf by the authority that who issues the certificate.

Gold futures contracts provide you with a direct method to invest in gold through the gold market. Now you can trade one of these two popular gold futures contracts; 1) COMEX Gold futures contract gets traded on the NYMEX and is one of the most liquid gold contracts in the world.

The other is the CBOT Mini-Gold. This contract gets traded on CBOT and is popular for its smaller size that allows many retail investors to profit from the gold market plus you can trade it electronically on the CBOT electronic trading platform. Now many investors don't want to mess around with gold futures! For them, Exchange Traded Funds (ETFs) offer a good investment opportunity in gold. There are two gold ETFs to choose from. One is the StreetTracks Gold Shares. This fund is a good way to profit from gold without actually owning it. The other gold ETF is iShares COMEX Gold Trust. Now both these ETFs track the gold prices in the spot market making their performance almost identical most of the time.

But if you have been trading stocks for a long time, you might still love to invest in some good gold mining companies by purchasing their stocks. There are many gold mining companies. When the gold prices soar, naturally their stock prices soar with them. Newmont Mining Corporation is the largest gold mining company in the world if I am not wrong. In any case, it is definately one of the largest if not the largest. So there are many ways you can invest in gold!

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www.9999gold.co.uk Gold price will be at 000 per ounce soon. == Many holders of gold store it in form of bullion coins or bars as a hedge against inflation or other economic disruptions. However, some economists do not believe gold serves as a hedge against inflation or currency depreciation.[10] The ISO 4217 currency code of gold is XAU. Modern bullion coins for investment or collector purposes do not require good mechanical wear properties; they are typically fine gold at 24k, although the American Gold Eagle, the British gold sovereign, and the South African Krugerrand continue to be minted in 22k metal in historical tradition. The special issue Canadian Gold Maple Leaf coin contains the highest purity gold of any bullion coin, at 99.999% or .99999 finess, while the popular issue Canadian Gold Maple Leaf coin has a purity of 99.99%. Several other 99.99% pure gold coins are available. The Australian Gold Kangaroos was first coined in 1986 as the Australian Gold Nugget. Its kangaroo theme appeared in 1989. In addition, there are several coins of the Australian Lunar Calendar series, and the Austrian Philharmonic. In 2006, the United States Mint began production of the American Buffalo gold bullion coin with a purity of 9999%.
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