Trading gold futures is an extremely risky activity

The attention now is on gold price and gold investment.

However, that does not mean that all forms of gold investment is safe.

For example, trading gold futures is a very risky activity.

That means you are basically speculating on the price of gold in the future.

The current economic situation is so uncertain that the gold price can stay stagnant for days, then the price shoots up one day, and suffers a great fall the next day.

It is hard enough to trade gold online, buying and selling gold at spot rate.  It is nearly impossible for trading gold futures to make a consistent profit for you.

The problem with trading gold futures is also the margin feature.

That means you can use a small sum of money to borrow a big sum of money, and use the whole lump sum to speculate in the future gold price.

You can use a dollar to borrow $10, and use $11 for trading gold futures.

If you happen to make a profit, you will have many times your initial capital.

If you happen to place a losing bet, you will lose all your money and get into debt.  You need to pay off the borrowed amount, and the interest incurred on the sum.

That is why you should not resort to this method unless you are a very seasoned investor in commodities, and you do not need to borrow money to speculate in the pricing.

The best way to invest in paper asset if you are interested in gold price is to open a gold saving account or buy gold ETF.

All forms of investments are risky.

Gold and silver used to be safe haven, but the recent volatility turns precious metal investment into an extremely risky speculating activities.

Gold price will definitely reach $2000 per Troy ounce in the future.  Silver price per Troy ounce will reach $50 in the future.

However, that is in the long term.

The only way for gold and silver price to fall in the long term is for US to reach full employment.

The short term volatility makes it fun for those with money, and can buy and sell daily.

For those of us who have no time to monitor our investment daily, the best is to buy gold bars, and keep the gold bars in the bank or a safe.

Trading gold futures is very risky.

Avoid it unless you have money for such speculative activity, and you do not need to trade on margin.

Having said that, it does not mean you cannot sign up for a free trading account.

You can sign up and learn the various functions.  As long as you are using practice gold, and not real money, you can have fun in trading gold futures.

Just bear in mind that using real money is a recipe for disaster for most people.

You rarely hear people get rich through such speculative activities.  Even the governments in the world buy real gold bars, instead of trading gold futures to safeguard their assets.