Silver trading on Forex

  • May 04 2021
  • by
  • Analyst AZA
Silver trading on Forex

Silver trading on Forex

In the courtyard, the twenty-first century, and the goods are not paid for in gold or silver coins, but metals are investment tools through which people can make a profit.
Forex is considered one of the most convenient for investment and trading: it is a platform for the work of many traders.
And really, all that is required of a person is the presence of a computer and access to the Internet.
A trader can forge not only currency pairs but also work with other options of market instruments.
Not everyone knows about the possibility of silver trading, which is very popular and in-demand among traders and investors of the markets.
Silver is also suitable for speculative activities and insurance against all possible risks.
It is quite attractive for investors (especially aggressive ones), so the price of silver is good for volatility and it affects the economic and political aspects.
The price of this metal is determined in dollars, and any trade transactions are made based on a specific currency instrument.
For transactions made with silver, we can conclude that they are more effective than the trading operations made with gold: the whole thing is with increased fluctuations in the rate - this makes it possible to make a short-term forecast.
What factors affect the value of silver?
The main thing is to take into account the important points, and do not forget about the increased level of volatility.
1. The price of silver is based (and is formed) based on world industry.
Companies and firms that are engaged in metal mining, buyers of silver - they are the main creators of supply and demand in the market.
Therefore, when forecasting the price movement, it is important to take into account not only the general direction in the technology and mining sector but also to observe individual situations that periodically arise.
From the production complexities of the supplier or from raising funds for its organization, changes or fluctuations can occur.
2. We should also pay attention to the fact that the cost of metal is determined by the main external economic aspects (in the world) - inflation, GDP increase, refinancing rates, and CB decisions in the world.
If we see that now the phase of economic changes reigns, then it is likely that shortly the metal price will rise (each investor seeks to save funds as much as possible from sudden changes).
3.Serebro - the reserve is limited, which is interconnected with the constant increase in prices for this metal.
How is silver trading carried out directly?
To the metal was profitable - brought income to the market participants, experts advise to take into account such characteristics of silver:
- it is necessary to expect the growth of interest in the valuable metal, which will be caused by its use in industry and due to the state potential of certain regions;
- the jewelry industry and medicine are actively showing interest in silver;
- silver has an increased level of squandering (due to the priority for the production sphere);
It is quite exhausting: it is a noble metal, which is popular in the spheres of human life.
Because of the above points, one can draw a very logical conclusion that silver is quite attractive for exchange traders and speculators: metal becomes a potential source of income.
To trade on the silver exchange, it is necessary to have an account with a brokerage firm, to have a specific amount on the account (a specific currency).
Among the most popular options for trading metal are the following:
1) intraday trading: the transaction is carried out for one trading day;
2) medium-term trade: trading operations are carried out for a period of several days to several weeks;
3) the use of long-term tactics: transactions are completed within a few months.
Often, silver traders use either a medium-term or long-term trading option.
Advantages and benefits of silver trading:
In precious metals (silver in particular) it is very beneficial to invest because these investments can provide the trader with a stable and fairly high profit.
Silver attracts due to the following characteristics:
- it is unlikely that its price will collapse
- obvious market stability;
- increased liquidity;
- the presence of a high level of volatility (if compared with gold for example);
- low risks;
- there are opportunities for long-term planning and forecasting;
- Quotations are expected.
If the silver market is bullish, we can see silver's leadership relative to gold, which manifests itself in growth: this allows players to get very high returns, while the bearish tendency to talk about strong losses.
It is worth paying attention to the silver rate, follow economic events, analyze.
The main advantage of silver trading is the use of large leverage, the main drawback is a large spread, and the most popular trading strategy using this metal is the Puria method, based on several moving averages.
Test, experiment, and expand your boundaries!
Successful trading!

If the silver market is bullish, we can see silver's leadership relative to gold, which manifests itself in growth: this allows players to get very high returns, while the bearish tendency to talk about strong losses.


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