This Is Why So Many People Are Trading Gold Right Now?
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#447: This Is Why So Many People Are Trading Gold Right Now?
In this video:
00:32 – Talking Gold, Great Results and 12/13 Profitable Trades
01:11 – Russian invasion of Ukraine and how it affects the market
02:12 – Fear and Uncertainty
02:48 – A lot of trades are on Gold
03:30 – Uncertainty over the morals of the banks
04:25 – Very few D1 trades but lots of H12 and H8 trades
05:00 – Trading Long and Short
06:26 – Future proofing yourself
07:12 – Client makes 8% gain on a $100k account in the last 2 days
Why are so many people trading gold right now, and how does the Russian invasion of Ukraine affect us as forex traders? Let’s get into that and more right now.
Hey there, forex traders. Andrew Mitchem here at The Forex Trading Coach with video and podcast number 447.
Talking Gold, Great Results and 12/13 Profitable Trades
Lots to get through on this session. I want to talk about gold. Why are so many people trading gold right now? Also, want to cover the amazing story I was told yesterday by one of our coaching clients who has just made 8% gain in the last two days, trading on a $100,000 prop firm account, and also want to discuss with you how we put, on our membership site, 10 trades yesterday. All 10 hit profit. I also took three trades on our live webinar yesterday, and two out of three also hit profit, so having some really good success there with our trades.
Russian invasion of Ukraine and how it affects the market
Elsewhere in the world, what’s happening? Well, over the last 24 hours, Russia has now invaded into Ukraine. Obviously going to cause a lot of turmoil, a lot of issues politically. It’s going to put up oil prices. It’s not going to help us with inflation. The US-Russian ruble has moved more today, in 24 hours, than it’s moved in the entire last 12 months. Great volatility out there, which, as traders, actually provides us with some good trading opportunities. You got to be careful that you don’t want to be seen that a war’s starting, and you’re taking advantage of it, but the wars do move things and the market is now moving. As traders, and as technical traders, we’re not so much interested in what the fundamentals are behind the scenes. It’s more what’s happening on the charts and trading those opportunities. We’re certainly seeing that come into the market right now.
Fear and Uncertainty
Obviously with war, there comes fear and anxiety and uncertainty. We’ve been through two years of this with COVID. Most of the world, thankfully, is now getting on with life. Here in New Zealand, unfortunately, we’re still stuck in the fear of the COVID situation and government control and everything else that’s going on. It doesn’t matter where you are in the world, there’s this uncertainty and that fear.
Oil prices, like I said, have gone up. Shipping costs have gone up. Inflation’s going up. Everything’s going up, becoming more and more expensive. Mortgage rates are going up, et cetera.
A lot of trades are on Gold
I was talking to Ben Clay over at Blueberry Markets earlier in the week, and he said to me, a very high proportion of their trading right now, that they’re seeing at Blueberry Markets, is on gold. It got me thinking of … This is prior to the Russian invasion, and it is like, why is that? Clearly, people are wanting to future-proof themselves, to stockpile the precious metals and golds and silvers, et cetera like that. You can see why, because of fear and anxiety and uncertainty, et cetera around the world.
Something like gold or silver is something that has value and will always have value. You see what people are doing.
Uncertainty over the morals of the banks
There’s uncertainty in the banks. I’ve just been on a webinar with some traders over in Canada, and they’ve said that the Canadian government are now starting to freeze accounts of people who have supported the trucking protests. The uncertainty there of, is your money really secure with traditional banks, so people are now getting back into buying gold. One of the great things with Blueberry is that you can trade gold, silver, lots of other sort of metals, commodities, et cetera. On their MT5 platform, they’ve got a massive array of different markets that you can trade, including lots of cryptos, et cetera, as well.
The other advantage that you have when you trade MT5 with Blueberry, as opposed to MT4, is that you have the ability to easily swap between lots more timeframe charts.
Very few D1 trades but lots of H12 and H8 trades
Yesterday on our membership site, we didn’t have any daily chart trades. The daily charts have been quite flat this week, not lots there, but we took six crypto sale trades yesterday, based on the eight-hour charts. We also posted two forex pairs on the eight-hour charts and two forex pairs on the 12-hour charts. All 10 of them hit their profit target. The beauty, if you go through someone like Blueberry, you are on MT5, is that you can have those different markets, those different timeframe charts, and see them very easily to be able to take advantage of them.
Trading Long and Short
The other thing, if you trade through the forex platforms, like with Blueberry Markets, is that when it comes to the commodities and the cryptos and the golds, the silvers, et cetera, is that you don’t have to just buy them. You’re not actually out there needing to spend 1900 US dollars on an ounce of gold, hoping that it’s going up, because you can buy metals or anything with leverage. Likewise, you can sell them. It’s not like, say, Bitcoin that you sell Bitcoin until you own Bitcoin, and then you need to spend 30, 40,000 US dollars for Bitcoin. The great thing of trading it on the forex markets is if it looks like it’s dropping down, like we had Bitcoin, Bitcoin Cash, we had Ethereum, Stellar, Litecoin yesterday, selling them. You don’t have to own them first to sell them through the Forex market, and that’s another beauty of it.
What I’ll do on this video and podcast, I’ll put a link to Blueberry Markets. You can go and check them out and have a look at their platforms, MT4 and MT5. I’ll also put a link to our video course page where you can find out exactly how we trade and exactly how we help other people around the world. We’ve got clients in 99 countries right now. We’re looking for that hundredth country to come onboard with us and give us the hundred countries, with clients around the world.
Future proofing yourself
Looking after yourself, future-proofing yourself is basically what a lot of us are looking at doing right now. With all the uncertainty, whether it be governments, whether it be COVID, whether it be war, whether it be inflation, whatever it might be, learning how to trade properly is one of the things that you can continue to do to future-proof yourself.
As mentioned a few weeks ago with inflation, unless your salary has gone up by four, five, six, seven percent, depending on where you are at in the world in the last year, you’re effectively going backwards. Something like trading can certainly help future-proof that, exactly like I mentioned at the beginning.
Client makes 8% gain on a $100k account in the last 2 days
Our client over in Hong Kong, who’s just made an 8% gain on a hundred thousand dollars prop firm account in the last two days. He’s on a 70/30 profit share, so he’s just gone and made $5,600 for himself in the last two days, and the prop firm money’s not even his money. It shows the amazing opportunities out there once you know what you’re doing.
I hope that helps, and I’ll see you this time next week. This is Andrew Mitchem here at the Forex Trading Coach. Bye for now.
Episode Title: #447: This Is Why So Many People Are Trading Gold Right Now?