How feasible is gold scalping, what are the commission fees, and what strategy can help you make money?

It is generally accepted that the best asset for trading using the scalping strategy is the EUR/USD currency pair, as it has the smallest spread.

But this judgment is one hundred percent correct only when it comes to the shortest-term transactions or scalping.

In fact, scalping can be done on almost any asset, as long as the price movement and time are sufficient to achieve a positive financial outcome from the transaction.

Gold trading is no exception to this rule, especially since, thanks to the use of contracts for difference (CFDs), the commission for this asset is decreasing every year.

 Why scalp gold?

Traditionally, the precious metal was used only in short-term transactions; gold was always perceived as an investment rather than a tool for speculation.

But if you've tried trading the XAU/USD pair, you've probably already noticed how often it enters nearly horizontal corridors:

Typically, the width of such a corridor is 10-15 dollars, which may seem like a small amount, but using leverage, you can easily increase your profits tenfold.

The only question that remains is the size of the commission for opening a gold transaction. How large will it be and how surmountable can it be in a short time?

My broker charged $41 for a 1-lot transaction, even though the lot size here is 5,000 Troy ounces:

That is, for one ounce when opening a trade, I paid 41/5000 = 0.008 dollars in commission, or less than one cent.

Based on this, we can confidently say that a corridor of just a few dollars is quite sufficient for scalping gold, since this metal has quite high volatility, and the commission for opening an order is low.

This is confirmed by the fact that, during the time of writing this article, the price of my open trade successfully compensated for the spread and began to generate profit:

Therefore, we can conclude that scalping gold is quite possible, and the best strategy for this purpose is trading in the price channel that this asset so loves to create.

At the same time, a leverage of 1:500 is quite enough for a decent income even with a deposit of only a few thousand US dollars.

Gold trading via the MetaTrader 4 platform - https://time-forex.com/interes/torg-zoloto-terminal