Let me explain something important: if you want to succeed in trading, you need to treat it like a serious business, not like a game of chance. It’s crucial to have a plan, understand how markets work, what affects them, and keep up with the latest news.

That’s why I avoid trading gold or any other commodities. I’ve tried to figure out how gold moves in the market, but its ups and downs are too unpredictable for me. Gold trading is like dealing with a wild animal—it can make you rich one moment and wipe out your account the next.

But just because it’s tough for me doesn’t mean it won’t work for you. Many people focus only on trading gold and do very well. However, if you’re new to trading, I suggest starting with forex and gradually easing into gold trading. This way, you can learn the ropes without risking too much too soon.

I’m not a pro at trading gold, but here are some tips I picked up, even though they didn’t really work for me but can work for you with the right strategy:

1. Understand the Market: Gold prices can be affected by things like tensions between countries, how well economies are doing, inflation, and changes in currency values. Learn about these things to predict how gold prices might change.
2. Use Technical Analysis: Look at charts and use tools like moving averages, RSI, and MACD to spot patterns that can help you decide when to buy or sell gold.
3. Stay Updated: Keep an eye on the news, especially big events that could affect the economy, like decisions from central banks (the big banks of countries), conflicts between countries, or reports about how well the economy is doing. These things can all make gold prices go up or down.
4. Manage Risks: Decide how much you’re willing to lose, and set limits to stop you from losing more than that. Gold prices can change quickly, so it’s important to have a plan to limit your losses.
5. Be Patient and Stick to Your Plan: Trading gold takes time and discipline. Avoid making quick decisions based on fear or greed. Stick to your plan even when the market gets bumpy, and don’t let your emotions control your actions.

To sum it up, trading commodities like gold is really risky because they can change in value a lot and it’s hard to predict. For me, it feels too much like gambling, and that’s not what I’m into. Trading should be about making smart choices, not taking chances like in a game.

If you’ve got a knack for trading gold with a solid strategy, I’d love to hear from you. Feel free to reach out and share your insights.

by Vanessa Vasilache