I just learned about gold futures contracts and found that this is a quite interesting trading tool. Basically, it is a forward contract where the underlying asset is gold, allowing you to speculate on gold prices without owning physical gold.

To trade, you need to open a futures account with a futures company. Profits and losses come from the price difference between entry and exit. If you hold the contract until expiration, you will have to settle in physical gold, but most people close their positions before that.

The largest market is COMEX in New York, where gold futures contracts are officially traded. A standard lot is 100 ounces of 99.5% pure gold, while a mini lot is 50 ounces with a minimum fluctuation of $0.25 per ounce. The exchange operates 23 hours a day (except weekends), closing from 5:15 to 6:00 a.m. local time for settlement.

Additionally, Shanghai also has its own gold futures market. Here, one lot is 1 kg of gold, traded with approximately 7x leverage. The interesting part is that it supports T+0 trading (buy and sell on the same day) and two-way trading, divided into morning and evening sessions. The minimum margin is 8% of the contract value, but it can increase if the market is highly volatile.

The main difference between the two markets is lot size, units (ounces vs grams), and trading mechanisms. COMEX functions like a stock exchange, providing a trading venue and ensuring fair rules, but does not participate directly. The Shanghai market is more flexible with two-way trading and T+0. If you want to learn more about gold futures contracts, you should compare both markets to choose the one that fits your trading strategy.