After poor performance for the last two months, gold has begun to rebound in the first day of domestic trading in 2017. As of noon on Tuesday, Jan. 3, 2017, gold futures for February delivery were trading at $1,160.30 a troy ounce. That’s an increase of $8.60 when compared with last week’s prices, or an overall increase of 0.8% in half a day of active trading. While this rally is encouraging, gold is still trading slightly below the highest price it commanded last week.
The U.S. Dollar Rally Is Impacting Gold Prices
There’s no question about the fact that, historically, a stronger dollar has generally lead to lower demand and prices for gold futures. Gold tends to surge when the dollar’s value is low and stocks are dipping. Following the strong rally of the United States dollar in the last two months of 2016, gold prices heading lower surprised very few seasoned investors. However, uncertainty about the future and hope about an influx of Islamic investors in the upcoming weeks have driven a mild increase in gold’s price in the short term.
Predicting Gold’s Value in 2017 Is Tricky at Best
Experts for years have been trying to pin down an accurate means of predicting the changes and fluctuations in gold’s price. Currently, there’s speculation that gold prices will increase dramatically this upcoming year, which is offset by others who predict it will continue trending downward for some time.
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Regardless of how you view the gold markets and which interpretation of recent market actions you accept, it’s clear that gold will remain an investment whose price regularly fluctuates due to other influences on the market, both domestically and abroad. As such, gold still presents clever investors with an opportunity to make substantial profits via short-term trading.
Invest in Gold Futures via an Online Forex Trading Platform
There are a number of ways to buy, sell, and trade gold. For many investors, the easiest, most cost-effective means of trading gold is to do so via an online Forex trading platform. These platforms allow investors to leverage their liquid capital, allowing them to control the short-term trading of more gold than they could purchase if they were buying physical gold instead of gold futures. It also allows you to trade from the comfort of your own home, quickly and easily when you notice gold prices fluctuating.
If you’re hoping to capitalize on the daily changes in gold value, trading gold futures on an online Forex platform is an easy and fun way to do it!
