I wanna trade XAUZAR but my icmarkets broker doesnt support it.
So I will BUY XAUUSD and BUY USDZAR in order to hedge the USD.
1 troy ounce of gold is 1674 USD. 1674 USD is 26235 ZAR.
So it’s x15.672
Meaning that for every 1 contract of gold I should be hedging 15.672 contracts of ZAR through the USD.
Is my calculation correct? Thanks in advance
Its usually comparatively expensive in terms of spreads and commissions if you want to trade something out of the ordinary.
Surely if you want to trade gold, you could use XAU/USD, even if you are in South Africa? Why the need to introduce ZAR?
I think you should try it especially if capital allows. It can give you a great experience that will help you in the future. Inventiveness is one of the key skills of a trader, who will always help you to get out of difficult situations. Be sure to share what you have done with it.
Yes, I think that you can do that, although it is really not too profitable, maybe you should try to find a broker who gives you the opportunity to work with this asset directly or work with other assets that can give you the same prospects.
I wanted to do that to take advantage of super weak exotics like INR, ZAR, TRY to generate extreme momentum trades against CHF, JPY, gold etc
I have found Saxo to offer such instruments and currently playing around with XAUINR CHFZAR etc on Saxo Tradingview