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The ideal option for Gold traders is to trade Gold options or futures which represent real Gold through a major regulated exchange However this requires a deposit of at least 5 000 with a futures brokerage because the smallest Gold futures contract represents just over 33 ounces of Gold and buying or selling only a single contract will
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A gold futures contract will almost always be priced at a different level to spot gold The differential closely tracks the cost of financing the equivalent purchase in the spot market Because both gold and cash can be lent and borrowed the relationship between the futures and the spot price is a simple arithmetical one which can be