Gold has fallen out of investor favor since falling 46% from its futures-high of 1923.70 in September of 2011. Gold futures volumes fell in some months by as much as 17% in 2015. This doesn’t mean, however, that gold should be ignored by traders. The volatility in the gold market makes it a very good contract to consider in your binary trading.
Nadex offers several strikes and expirations in Gold, including weeklies. While gold has been consolidating, essentially since March of last year, there have been some major daily and even weekly price moves, which can lend themselves to very good binary trading results. The tightest weekly trading range in gold since January of 2015 was the week of 12/21/15 and it was still a full $18.30 range. The tightest daily range of that same week was a full $7.30. Intraday and intraweek moves like this can provide great opportunity for binary trading if you have a method you can rely on. Adding gold to your daily analysis (assuming you are not just throwing darts to pick your trades) is a must, especially as global equity market and emerging market fears are spiraling, as they have been in 2016. The precious metal may have fallen out of favor as a disaster hedge as of late, but the lighter “long-only” volumes have actually given the commodity more up and down volatility of price and that can spell good opportunity for Nadex binary trading. The bloom may be off the rose for gold bugs looking for the apocalypse and the return of gold coins for a fresh young goat in the marketplace, but binary traders should have gold in their morning list of markets to analyze.
Futures, options and swaps trading involve risk and may not be appropriate for all investors. Past performance is not necessarily indicative of future results.