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2012/07/22

Learn How Gold Prices Affect Major Currency Pairs


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Building a Dollar Sign with Dominos

Is the Gold Rush Over?

The future looks dimmer than anticipated for the gold market. Experts began to lower their price forecasts for gold this week as gold held a tight $32 range. These cuts in projected prices are a result of the slowest first half of the year since 2007.

In times of economic instability, gold has long been a safe haven for investors. However, the current lack of physical demand for the precious metal is making this common practice less appealing and effective for traders. While gold buyers look at the current gold-price situation  with worry, the US dollar continued to gain in the Forex market to a whopping two-year high.

How do the fluctuations in gold prices affect other major currencies within the Forex market?

Join our Senior Forex Analyst, Shawn Beecher, as he discusses the effects of gold in the market and what it could mean for your currency trading. Register for an upcoming, complimentary Forex webinar:

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Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Past performance is not indicative of future results.  Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

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1 comment:

  1. The major aspect that controls the cost of gold is the value of US Money. A more powerful US dollar will keep the cost of gold managed and low.

    Forex signals

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