The market has proven demand for these products for many years, including individual investors and institutional investors, whether for speculation or risk hedging.
Market demand is not driven by any individual geopolitical situation, and many sensible investors trade precious metals to diversify their portfolios and hedge their positions, even as the market declines.
The precious metals market is constantly changing and there are always opportunities to trade to choose a currency that depreciates or appreciates relative to another currency. Therefore, investors can profit from multiple positions or short positions.
The trading hours of global precious metals, based on London time, form a continuous trading market in London and New York (Chicago): London's early morning pricing at 10:30 am opens the North American gold market.
|Standard trading contract||10 ounces per hand|
|Minimum trading unit||1 hand|
|Value/hand of every point||$ 1|
|Trading hours (Beijing time)||
周一 06:00 到周六 05:00，隔夜 05:00-06:00 休盘 1 小时（夏令时）
周一 07:00 到周六 06:00，隔夜 06:00-07:00 休盘 1 小时（冬令时）
周一 06:00 到周六 05:00，隔夜 05:00-06:00 休盘 1 小时(夏令时)
周一 07:00 到周六 06:00，隔夜 06:00-07:00 休盘 1 小时(冬令时)
A spot gold contract (SPT_GLD) has a face value of 100 ounces (based on the value of the metal below), with a spread of 50 cents ($0.50), a minimum change of $0.05, and a margin requirement of $1000 per contract.
The customer believes that the valuation of gold is too high and will fall in the future. In response to this situation, the customer decided to sell gold.
The spot gold contract is quoted at 910.90/40 (that is, the quote is 910.90 – 910.40), and the customer sells 7 spot gold contracts at 910.90, which requires a total deposit of $7000. Customers are required to provide a minimum deposit of $1000 per trade.
The spot gold price fell to 907.40/90 and the client decided to close his short-term trade. He bought 7 lots of spot gold at 907.90, then the customer made a profit of $3 per contract in the (910.90 - 907.90) trade.
If the face value of each contract is 100 ounces, we should make a profit of 100*$3. Therefore, the profit per contract in US dollars is: 100*$3=$300, and the total profit is $2100 ($300*7 contracts).
|7-hand spot gold contract selling price 910.90 - purchase price 907.90||+$3|
|1 ounce profit 3 dollars, 100 ounces profit||+$300|
|$300*7 (number of contracts)||$2100 profit|
* The above calculation does not include commission fees