Written by: George Papazov, founder and CEO of TRADEPRO Academy
Most trading commodities are impacted by seasonal highs and lows. Gold is no different. Annually, the best time to sell gold usually occurs during the months of August through November. A sale during this time of year can yield higher returns for the investor.
One of the reasons why gold increases in value during the end-of-year rush are holidays practiced around the world that drive up demand. For example, in November the Indian holiday Diwali, or the festival of lights, impacts the value of gold each year. As part of the celebrations, many people around the globe purchase gold products.
Historically, an investment in gold usually shows good returns during a time of risky markets.
The value cycle of gold throughout the year can help investors yield high returns for those who take the time to follow and understand it. Learning this cycle is invaluable for focused traders who are looking to add gold as a successful element to their trade portfolio.
In 2020, gold showed the highest opportunity between June and the end of November, offering a 5.5% return. This cyclical pattern of increasing returns has persisted through the past three years, occurring each time from the middle of the year to just before the end of the year. Taken together, the upswing has already reach 54%+ since the end of 2017. Because the value continues to rise over the long term.
Successful investors understand the market is dynamic. Gold, like other investment opportunities, has a fluid nature that provides both ups and downs. The current upswing will not go on forever, which is why real-time analysis of the market is crucial to success. For now, taking advantage of gold’s cyclical, end-of-year yields can produce strong results.
George Papazov founded TRADEPRO Academy in 2012 Papazov to inspire, educate and empower at-home traders and investors. A self-made millionaire and entrepreneur, Papazov’s self-published book Path to Profit: A Trader’s Journal reached Amazon bestseller lists. With seven years of work for a major international bank he is now an industry-leader in trading currencies, stocks, options and futures. Papazov provides a daily Morning Market Video Update to 39,000 YouTube subscribers, on topics from OPEC to stock updates, breaking market news, and Brexit to interest rates. His popular video training tutorials include TradingView Tutorial and How to Use Fibonacci Retracements. Papazov lives in Toronto, Canada.
DISCLAIMER: Futures, stocks and options trading involves substantial risk of loss and is not suitable for every investor. The valuation of futures, stocks and options may fluctuate, and, as a result, clients may lose more than their original investment. Prior performance is not indicative of future resuls.
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