The most widely traded currency pairs on the foreign exchange markets
Commodity pairs offer benefits to investors because they are among the most widely traded currency pairs on the foreign exchange (FX) market. With Net Global Markets you can trade with over 50 commodities including Gold, Natural Gas, Silver, Coffee, Copper and many more, securely with the lowest fees in the market guaranteed.
Let’s assume we are trading Gold. (XAU/USD). 1 Ounce of Gold is worth $1800 now. We assume that the price of Gold will increase to $1810. If we open a buy position (1 lot) and our estimation is correct, we will get a profit of $1000. A standard lot is 100 Oz for Gold and if we buy 100 Oz of Gold that worth $1800 now ($180,000), when the price hits $1810 ($181,000) we will get a profit of $1000. Formula = (closing price x 100 Oz) – (opening price $1810 x 100 Oz) = $1000