Monday, August 5, 2013, AM | Leave Comment
Gold investors must have a keen eye on gold prices if they need to put their monies into it. Gold investment is a trend that is fast catching up and only showing the increasing graph every year. Gold is attractive for investment purposes due to the stability that it offers and due to its risk-averse behavior.
The benefits of assured returns, long-term stability of gold prices, wide variety of forms for gold investment, and the high value of gold in terms of its social esteem are some of the factors that make gold attractive to investors.
Gold market has been bullish since a long time. So, investors who bought the gold prior to that and traded in this period have seen nothing but huge returns. If you are extremely keen on investing in gold but are rather ignorant about gold trends or have insufficient knowledge about the same, you can overcome this by carefully studying the gold market during this period.
Take into consideration all the factors that can impact the gold price and make a note of what occurred to impact the gold price during those years. Did economic recession make a positive or negative impact? Did a sudden rise in investor interest in gold led to rise in its price as per the demand-supply ratio?
Gold is a lucky treasure to own as its value increases even when the value of dollar faces a severe tumble. So, when the stock market scenario looks bleak, you can expect gold to rescue you from your financial woes.
When you are about to buy gold as jewelry or in either of its forms, make sure you check the spot price of gold before putting your money into it. This is essential in order to ensure that the dealer doesn’t dupe you. If you want to learn the recent trend of gold, check the 2012 Gold Price and see what affect it to rise or fall if that was the behavior observed.
Gold Price today is 29.45 pounds/gram. So, if you are planning to buy gold today, this is the price you must pay when you go to the gold dealer to buy gold whether it is gold jewelry (chain, earrings, bracelet, rings, etc.), gold bars, or gold coins. But, if you are planning to buy gold maybe tomorrow or after few days, do not rely on today’s price.
You must note that although gold being stable over the long term, it is highly volatile over the short term. So, if the current gold price is 30.53 pounds/ gram as of today, don’t expect it to remain the same tomorrow or over a period of few days. It takes only a moment that is called as pivot point for the gold market to change from bearish to bullish. So, referring to the gold price chart becomes inevitable if you want to be an ardent and loyal gold investor.
With these charts, you will get a good idea about the gold behavior in the last one year, six months, one month, or even last few decades. Knowing the behavior can even help you predict the next trend. But, do err by thinking that what seems on the horizon is always the coming future.
There are abrupt changes in gold prices too at times. However, these are nothing to worry about for the investors who have already bought gold but it is for those who wish to make fresh investments and so need to cash in on the reducing gold prices. Investors eyeing short-term gains from gold have to keep a constant eye on the current gold price than those who want to open their gold treasure after many, many years to finally encash it.
If you are buying online, check out the current gold rate before you plunge into the deal. In fact, you need to maintain extra caution when you are dealing online. If you bought gold in the year 2012 and want to sell it off this year, refer to the gold price change graph extending over a period of one year. This will help you gauge the profits you can earn and proud of it.
Chris is a financial adviser and encourages people to indulge themselves more in investment, as it will help them in the long run.