![\"What](\"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-content\/uploads\/2022\/02\/Gold-Futures-300x200.jpg\" "\\"\\"")
<\/p>\n<\/p>\n
Like all commodity futures, gold futures are derivative financial contracts.\u00a0 A derivative is a type of contract whose value is determined by or derived from the value of another asset.\u00a0 In the case of gold futures contracts, the other asset is an amount of gold.\u00a0 The major gold futures contracts traded on the CME Group\u2019s COMEX Exchange are derived from the value of 100 ounces, 50 ounces, and 10 ounces of gold with a rated fineness of 995. What this means is the underlying metal\u2019s purity is at least 99.5% or more.\u00a0 In turn, because of the reflective relationship between gold futures contracts and gold itself, understandably the price of a futures contract is valued similarly to and fluctuates with the price of gold.<\/p>\n
Gold futures, such as those traded on the CME Group\u2019s COMEX Exchange, are an efficient means for you as a trader to participate in the directional movement of the price of gold.\u00a0 The exchange is essentially the marketplace where these futures are traded.\u00a0 By means of electronic networks, an exchange\u2019s market participants can be apprised of vital information like this futures contract\u2019s current price, competing bids and offers, the number of contracts changing hands (volume), the total number of outstanding contracts (open interest), and more.\u00a0 It\u2019s also the means by which participation in the gold futures marketplace takes place.\u00a0 It’s where buyers and sellers, or futures traders like you, meet.<\/p>\n
Gaining access to the gold futures market generally calls for a trading account to be opened with a registered brokerage.\u00a0 It is through this arrangement that market participation is facilitated and orders to buy and sell gold futures can be placed to the exchange via an electronic trading platform \u2013 called Globex at the CME.\u00a0 The exchange is responsible for the execution of trades between buyers and sellers.\u00a0 This is possibly the most important function of the exchange, in that it serves as the buyer to every seller and the seller to every buyer, thus virtually eliminating credit risk for each market participant.<\/p>\n
Important: Trading commodity futures and options involves a substantial risk of loss. Therefore, recommendations contained in this letter are of opinion only and do not guarantee any profits. There is not an actual account trading these recommendations and past performances are not necessarily indicative of future results.<\/p>\n","protected":false},"excerpt":{"rendered":"
What Are Gold Futures? Like all commodity futures, gold futures are derivative financial contracts.\u00a0 A derivative is a type of contract whose value is determined by or derived from the value of another asset.\u00a0 In the case of gold futures contracts, the other asset is an amount of gold.\u00a0 The major gold futures contracts traded […]<\/p>\n","protected":false},"author":17,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[67,167],"tags":[],"class_list":["post-17529","post","type-post","status-publish","format-standard","hentry","category-future-trading-news","category-currency-futures"],"_links":{"self":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/17529","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/comments?post=17529"}],"version-history":[{"count":7,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/17529\/revisions"}],"predecessor-version":[{"id":17543,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/posts\/17529\/revisions\/17543"}],"wp:attachment":[{"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/media?parent=17529"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/categories?post=17529"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.cannontrading.com\/tools\/support-resistance-levels\/wp-json\/wp\/v2\/tags?post=17529"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}