Gold is one of the most traded commodities in spread betting. Historically gold has never been a volatile commodity to be considered for spread betting but uncertainty in global forex and equity markets have led to volatility in gold markets as well.
Spread betting is a useful tool for people who want to trade in gold as spread betting allows tax free income as well as leverage to trade on more quantities than normal trade. Spread betting on gold can be done on many websites that allow daily cash trading and future trading in commodities.
Spread betting in gold is just like spread betting in any other commodity and requires similar margin money and knowledge. The only difference being that gold as a commodity is very dear and takes lot of money to play.
Spread betting also is a game meant for big hearts, ones that have the heart to lose their stake for the big one. In the last 10 years gold has been on the run with small breaks here and there and the run seems to be continuing due to weak equity and forex markets.
The best strategy for spread betting on gold at this time would be to make a pyramid by purchasing gold on every increase. Most would argue as why to wait for the next increase to purchase and not purchase when it is still cheap?
The answer is that you never know when the prices are going to fall. So, if the prices start falling after you make a bulk purchase, you will be left with no capital to refurbish your position thereby losing all your money. So if you wait till the next increase, it will not only indicate that the price of gold is moving in the right direction, but also provide the money for your next trade.