Basics, updated 8 October 2026
What is XAUUSD? Gold trading explained
XAUUSD is the price of one troy ounce of gold in US dollars. How it's quoted, what moves it, and how traders buy and sell it.
XAUUSD is the price of one troy ounce of gold, quoted in US dollars. If XAUUSD is 4,125.40, an ounce of gold costs $4,125.40. It’s how forex and CFD brokers list gold, alongside currency pairs like EURUSD.
How the code works
Currency codes follow the ISO 4217 standard. Precious metals start with X: XAU is gold (from the Latin aurum), XAG is silver. USD is the US dollar. So XAUUSD reads “gold in dollars”, the same way EURUSD reads “euros in dollars”. Some brokers simply call it GOLD.
A troy ounce is 31.1035 grams, about 10% heavier than an everyday ounce. Gold has been weighed in troy ounces for centuries, and the habit stuck.
How gold is traded
Most retail traders don’t buy bars. They trade contracts that track the price:
- CFDs and spot gold on margin. The most common route through forex brokers. You can buy or sell, and you only put up a fraction of the position as margin.
- Futures. Exchange-traded contracts (COMEX gold, symbol GC), standardised at 100 ounces, with a fixed expiry.
- ETFs. Funds that hold physical gold, bought like shares, with no leverage.
Gold signals, including ours, are written for spot XAUUSD and work on any broker that offers it.
Contract sizes
| Lot size | Ounces | Value at $4,125 |
|---|---|---|
| 1.00 (standard) | 100 | $412,500 |
| 0.10 (mini) | 10 | $41,250 |
| 0.01 (micro) | 1 | $4,125 |
Those position values are why leverage and position sizing matter so much. See gold lot sizes and the margin calculator.
What moves XAUUSD
Gold pays no interest and has no earnings, so its price reflects what else is on offer. The big drivers are US interest rates (especially after inflation), the US dollar, risk and fear in markets, and central bank buying. Scheduled US data such as CPI, NFP and FOMC decisions moves it most within a day.
When it trades
From Sunday evening to Friday evening (US time), almost around the clock, with a short daily break at the New York close. It’s busiest during London and the London–New York overlap. See the best time to trade gold.