How to avoid the risk of trading gold?

In the case of rising trend is no longer clear, should be step by step to reduce the position; when the downward trend is formed, decisively liquidate or reverse shorting, but shorting can only be short for it.

1. In the case of upward trend is no longer clear, should be reduced step by step; when the downward trend is formed, decisively liquidate positions or reverse short, but short only short for.

2. From recent years, the price of gold on the market is expected to change the response to the silver, when the gold price trend appears weak, the next round of decline may be the price of silver, investors should be careful to control positions, can be considered in the price of gold after the downward intervention.

3. In the short and medium term, gold by the dollar and stock indexes have a greater impact, investors need to pay special attention to several issues: (1) the evolution of inflation and anti-inflation policy; (inflation upward, the price of gold; monetary policy anti-inflation, the price of gold fell) (2) the dollar exchange rate movements; (dollar depreciation, the price of gold) (3) the fluctuations in oil prices; (oil prices up, the price of gold). The logic is that when the international market oil prices rise will cause the dollar depreciation, because the international gold to "dollar" price, the dollar depreciation and inflation will stimulate the investment of safe-haven demand, thus stimulating the price of gold to rise further.

4. Long-term, gold prices by the market supply and demand, because silver compared to gold has a wider range of industrial uses, such as for the electronic information industry, film processing and manufacturing, industrial demand for the recovery and the continued consumption of silver, for the future and then beyond the gold rose to lay the foundation. And gold is only in the global flow, and will not be widely consumed. In addition, it should be noted that if silver production increases significantly, its price will fall back, leading to the emergence of such a situation of factors such as silver mining technology innovations, the discovery of new deposits, the situation caused by the instability of the prolonged miners' strikes and so on.