I have a question about safe havens | Forex Factory

Options

Permalinks
Print Thread

Similar Threads

I have a question. I'm a newbie 37 replies

Simple Question, maybe a dumb question 2 replies

Just a fast question - Need help for an exam trading question 0 replies

Hedging Question - Quick Question Looking for A Quick Answer 1 reply

I have a question about safe havens

  • #1
  • First Post: Oct 5, 2017 11:55am Oct 5, 2017 11:55am
I notice that XAU/USD is commonly traded, but why not gold against other currencies?

Also, most people would trade yen pairs, but isn't the swiss franc a safe haven and acts in a manner similar to the yen as well? I rarely see traders executing orders against the CHF.
  • #2
  • Oct 5, 2017 9:06pm Oct 5, 2017 9:06pm
Quoting MoneyFocus
I notice that XAU/USD is commonly traded, but why not gold against other currencies? Also, most people would trade yen pairs, but isn't the swiss franc a safe haven and acts in a manner similar to the yen as well? I rarely see traders executing orders against the CHF.
Gold is safe havens historically. But Gold is depreciating asset and do not grow comparing to other assets. So why buy Gold then! since currency valuations adjudicated on Gold preserve value of country and historically it was used to create wealth(slow though) and having social value to many community in this Universe .

So in spite of some odds , Gold is Safe haven.
  • #3
  • Oct 5, 2017 9:30pm Oct 5, 2017 9:30pm
Quoting johnston
{quote} Gold is safe havens historically. But Gold is depreciating asset and do not grow comparing to other assets. So why buy Gold then! since currency valuations adjudicated on Gold preserve value of country and historically it was used to create wealth(slow though) and having social value to many community in this Universe . So in spite of some odds , Gold is Safe haven.
The point of safe havens isn't meant to grow the value, isn't it?
  • #4
  • Oct 5, 2017 9:32pm Oct 5, 2017 9:32pm
Quoting MoneyFocus
{quote} The point of safe havens isn't meant to grow the value, isn't it?
absolutely. Security first , growth in passive mode.
  • #5
  • Oct 6, 2017 12:15am Oct 6, 2017 12:15am
you do have other currencies against gold. Also for chf pairs, you see lack of volume simply because jpy has more volume than chf.
  • #6
  • Oct 6, 2017 5:19am Oct 6, 2017 5:19am
As Consistency7 said, there are other XAU pairs other than with the USD. People stick to XAU/USD a lot out of habit and because the US is still the largest economy in the world.
  • #7
  • Last Post: Nov 16, 2017 4:31am Nov 16, 2017 4:31am
Quoting mlawson71
As Consistency7 said, there are other XAU pairs other than with the USD. People stick to XAU/USD a lot out of habit and because the US is still the largest economy in the world.
That’s the point! As like EUR/USD is much popular than others trading currencies!
0 traders viewing now