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Gold & Silver

Why Trade Gold & Silver

  • Trading in spot gold and spot silver with Odin Forex allows you to use an effective alternative to diversify your investment portfolio.
  • To speculate on short or long term trading opportunities in a 24-hour market.
  • These are two of the world's most traded markets, making them fast moving and highly liquid.
  • To hedge against market volatility and financial crises.

Gold & Silver Trading Highlights

Instrument Typical Spreads Standard Contract Size Min. Contract Size Max Leverage Trading Hours GMT
Gold 50 100 oz. 1 oz.(0.1) $1000 24 hrs
Silver 50 5000 oz. 50 oz.(0.1) $2500 24 hrs

Trading Hours

Spot gold and silver trading is available from 22:15 EST Sunday through 22:00 EST Friday(Daylight Saving Time).


Symbols

Odin Forex currently offers 24 hour trading in the following pairs with gold and silver: GOLD,SILVER
In order to view all available trading instruments in the Market Watch window inside the Metatrader trading platform, just move your mouse cursor inside the Metatrader over the symbols located in the Market Watch window, right click your mouse on any of the symbols and select 'Show All' from the popup menu.


Execution Spreads

As a result of our Straight Through Processing, the spreads vary, which includes times of high market volatility, before and after major economic releases, and following other important news and events. Spreads and liquidity will reflect the prevailing interbank market liquidity.
Typical spread on Gold is 50 pips and the spread on Silver is 4.


Trading Minimums

Trading of gold and silver takes place in 'lots'. 1 lot of gold = 100oz and 1 lot of silver = 5000oz. Trading of gold starts at 1oz = 0.01 lot and silver from 50oz = 0.01 lot.


Price Quotes

Trades are quoted via transparent 'Straight Through Processing'; live prices are continuously published to clients via our trading platform, and traders can at any time click on the current bid or offer and execute a market trade. Trades are executed via 'Market Execution' and the prices are updated automatically as market conditions dictate.
Price quotes of spot gold and silver are similar to price quotes of Forex currency pairs. For example, spot gold traded against the US dollar is GOLD.
Spot prices of gold and silver are quoted internationally in US dollars per troy ounce, so for a quote of GOLD 1300.50, 1oz of gold is equal to $1300.50
Increasing quote for gold means strengthening of gold value. Conversely, decreasing quote for gold means the gold is worth fewer dollars than before.
A typical quote you might receive for spot gold is 1385.80/1386.30 (bid/ask). This means that you could sell at 1385.80, or buy at 1386.30. The difference between the bid and ask prices is the spread (1385.80-1386.30) or 0.50.


Calculating Profit & Loss

For gold, 1 lot is 100 troy ounces, and the smallest price increment (5 pips) is 0.05. This means that a one increment movement in the gold price represents a $5 price movement for each lot that you are trading. For silver, 1 lot is 5000 troy ounces, and the smallest price increment (pip) is 0.01. This means that a one increment movement in the silver price represents a $50 price movement for each lot that you are trading.


As an example:

You decide to buy 1 lot of XAU/USD (spot gold) at 1383.30. A few minutes later, the bid (or sell) price has risen to 1383.90, and you decide to exit your trade.


Calculating your profit:

You bought 1 lot at 1383.30
You sold 1 lot at 1383.90 a difference of 0.60, or 60 pips
Your trade has therefore made 60 pips x $1, equal to $60.


If the price had moved against you to 1382.80, your loss would be calculated as follows:

You bought 1 lot at 1383.30
You sold 1 lot at 1382.80, a difference of 50 pips.
Your trade has therefore made a loss of 50 pips x $1 per pip, equals to $50.