How To Trade Spot Gold From The Comfort Of Your Own Home In 1 Minute A Day For Accelerated Wealth Accumulation, More Income Streams & A Secure Financial Future
NOTE: This page is part of the Start Investing Guide. To go through the Guide in order, go here: Start Investing Guide
What do you do when you want to diversify your wealth accumulation efforts besides trading Forex. Simple… learn how to trade spot gold.
At least, trading spot gold is what I am doing.
Forex trading provides me with the opportunity to beat other investment methods so I can accumulate wealth faster, create multiple income streams and secure my financial future.
But it is always a good idea to diversify your trading. And trading spot gold is an excellent market to add more income streams to your wealth accumulation efforts.
Just so you know, I teach others how to trade spot gold the way I do. However, Forex is still my main wealth creation activity. For this reason, learning how to trade spot gold is only available as an add-on to Forex Trading Blast Off 2.0.
This page is detailed, so I suggest reading the page all the way through once, and then use the Table Of Contents to revisit specific sections later.
Spot Gold VS Physical Gold
Let’s start off with a simple clarification. What is the difference between spot gold price and physical gold price?
Spot Gold Price: Spot Gold Price is the price of gold traded in the financial markets “on the spot”. If you could buy raw, unminted gold with immediate payment and delivery this would be the “spot” price.
Furthermore, spot gold price refers to the price of one troy ounce of gold.
Physical Gold Price: Physical Gold Price refers to the price of physical gold bullion once it has been converted into coins or bars.
Just keep this in mind, we are talking about how to trade spot gold on this page, not how to buy physical gold.
What Is Spot Gold Trading
In a nutshell, spot gold trading is simply buying or selling gold at the Spot Gold Price in the financial markets in real time.
Remember, when you trade spot gold, there is no physical gold changing hands. The trading happens on an online platform where buyers and sellers trade with each other in real time electronically.
One of the benefits of spot gold trading is the ability to buy or sell gold in fractional amounts. If you are buying or selling physical gold, you have to buy complete coins or bars.
Being able to buy or sell fractions of a troy ounce makes spot gold trading more affordable for smaller investors. This is part of the reason trading spot gold is so attractive.
How To Trade Spot Gold From
The Comfort Of Your Own Home
There is nothing particularly special you need to trade spot gold from home. But there are some essential things you must have.
»Computer & Internet Connection
The Internet is what makes trading spot gold at home possible. You’ll need a computer and an Internet connection so you can participate in the spot gold market electronically and in real time.
The great thing about trading spot gold is you can do it with the same brokers we use to trade Forex. Therefore, you’ll need a Forex broker account that offers the XAUUSD pair for trading (Gold vs US Dollar).
Getting a broker account is really is a pretty simple and straightforward process: Best Forex Broker To Use
» Trading Platform
Next you need a trading platform that allows you to access the XAUUSD spot gold charts and take trading actions. I personally use the free Metatrader4 Platform offered by most brokers.
There really is no need to get fancy and pay for expensive platforms
»Spot Gold Trading Strategy
The spot gold trading strategy you use is what determines HOW you interact with the market, when you buy and sell and how you manage your trades.
In order to make real money trading spot gold, you’ll need some startup money to invest. Real profits require a real account funded with real money.
So, just like any other business opportunity, if you want to make money trading spot gold, you’ll have to make an initial investment.
»Time To Trade The Gold Market
You’ll also need time to trade the Gold market. But Gold trading does not have to be time consuming. As a matter of fact, the way I teach how to trade spot gold only takes 1 minute a day, 5 times a week.
How To Strategically Design Your Spot Gold Trading Success
I say it over and over again, “Strategic planning is more important than skill.” And this is true when wanting to learn how to trade spot gold as well.
And the way to strategically design how to trade spot gold is to focus on the risk to reward ratio rather than win rate.
Winning a lot of trades does not necessarily mean you are going to be profitable over the long term. You still need to make more money on winning gold trades than you lose on losing gold trades.
Just think about it…
If you make twice as much money on a winning trade than you lose on a losing trade… you don’t even need to win 50% of the time to be profitable.
I personally trade 2 different gold accounts with different take profit levels: one with the take profit 3 TIMES the risk and one with the take profit 5 TIMES the risk.
This puts the risk to reward firmly in my favor.
Now look, I get it. Trading is not as cut and dry and these targets aren’t always hit. But by trading spot gold with a positive risk to reward ratio, I put the odds in my favor.
All I need to do to be profitable over the long term is to stick to the trading rules that put the odds in my favor and keep trading.
Sounds simple, right? And you might think it is too simple to really be profitable. So, let’s take a look.
Is Spot Gold Trading Profitable
Is the method I recommend on how to trade gold too simple to be profitable? I mean trading a simple strategy for 1 minute a day couldn’t possibly make any meaningful money, right?
In order to understand what profitable means, we need a benchmark.
Most investors use the returns of the S&P 500 as the benchmark for determining success. So, let’s use that.
These charts are based on a one time investment of $5,000:
As you can see, by trading with a risk to reward level 3 TIMES the risk, this account was profitable and beat the S&P 500 over the same time period.
Again, trading with a risk to reward of 5 TIMES the risk resulted in beating the S&P 500.
Both accounts did more than DOUBLE the profits.
So, would you say that doubling your returns trading spot gold is profitable?
How To Trade Spot Gold Like You
I look at trading spot gold as an addition to my Forex trading. It is just one more way I can accumulate wealth faster, create multiple income streams and secure my financial future.
So, in addition to trading my Forex accounts, I’ve added spot gold trading accounts to diversify my trading.
Trading spot gold and trading Forex share the same overall trading philosophy.
- We trade off the daily charts once a day
- Trading must be simple
- Decisions must be mechanical and rules based
- No more than 1 minute a day must be dedicated to trading spot gold
- We focus on risk to reward
- And we commit to trading over the long term
So, since the overall trading philosophy is the same, I’ve added the spot gold trading strategy as an optional add-on to Forex Trading Blast Off 2.0.
IMPORTANT: The trading strategy for Forex Trading Blast Off 2.0 and Gold Trading Blast Off are completely different. They use different indicators and different trading rules.
If you want to learn more about how I trade spot gold, I can teach you to do it the same way I do:
Adding spot gold trading to your wealth accumulation efforts is a good idea. You can trade spot gold from the comfort of your own home in 1 minute a day, add more income streams and accumulate wealth faster.
To Your Wealth,