The request for gold and especially for gold investments has reached a maximum historical level during the latest years. At the base of this tendency, we can see the central banks and the private investors that realized the potential of gold. According to the specialists, the price gold is continuously growing, and as long as the stock markets are not able to offer the needed safety for the investors, this tendency will be maintained.
The price gold has been increased with 24 % during a single year. With the growing problems of the European Union and with the social movements in USA, it seems like the financial recession is far from being over. This tendency is observed in the price gold. In fact, the price gold can be considered as one of the most elucidating indicator of the economy. When the price gold goes up, a financial recession can be foreseen. However, as soon as the recession is over, people would prefer other types of investments, and this is why the price gold has an inverse behavior compared with the price of stocks and with the evolution of the economy.
Gold is also one of the most liquid investments. Unlike the stock market where an investor could wait for days for the orders to be executed, on the gold market, any investor can find a buyer for the price gold he requests. However, this is not necessarily a positive characteristic, as it makes room for speculative actions.
The price gold is also influenced on the short term by a large number of factors. Practically, any announcement of the Federal Reserve or of the American presidency has an influence on this price. However, the rating agencies also play their part, and any revisions of governmental ratings could have an effect on the price gold.
The advanced gold investors prefer to use the futures options to trade this metal. However, even if this operation could bring serious money for the investor, they are also risky, therefore, they are only designed for people that really know their way around this business.
Observing the appetite of the private investors for gold, commercial banks tried to attract people with less financial resources in this business. Today, you can go to a large number of local banks to check the price gold and to start a small investments with this metal. However, the process is a little different for individual investors. They will have to trade virtually, and there is no possibility for the clients to obtain the metal. In other words, you will trade with virtual gold, and you won’t have the possibility to buy your units of gold physically. However, this virtual gold produces real money, and as long as the price gold will go up, you might consider this option as an alternative.
If you are new to this business and you can’t anticipate the fluctuations of the market, it is a good idea to find a broker, and to sign a representing contract on the gold market with the respective broker.