Write an article based on this "Decide what to buy. Set a limit. Know the market price for gold."
Before you pull out the keyboard and start typing in URLs, do some research on products, prices, and availability. There are two types of gold that are commonly traded: bullion and coins. Gold bullion can be in the form of coin, or those bars you picture when you think of Ft. Knox (most often "London Good Delivery" specification). Bullion is pure gold, and is priced only by the amount of gold involved. Gold bars are recommended more for "big league" investors or collectors. Investing in this type of gold is more effective, except for the purpose of selling. Because bars cannot be subdivided, options for buyers are limited. Gold coinsor numismatic goldare more collectible, have a lower threshold for entry into the investment market, and are easier to cash in. Because they can be collectibleand often mixed with other metalstheir price can fluctuate more than the price of bullion. Determine before you talk to a sales associate just how much money you can comfortably afford to spend on gold. Without fiscal parameters, you could easily spend more than you had intended. There are websites that post daily gold prices and provide periodic price updates throughout the day. Some sites list gold prices in several currencies, including the Euro, Japanese Yen, Swiss Franc and the Indian Rupee. The better dealers will also include market research and analysis articles on their sites. A fair price will always reflect the current nominal value of gold. What is called "fair market value" will reflect the nominal value as well as the present supply of and demand for gold. Most gold bullion will have a small markup above the spot price (the instantaneous market price). A smaller purchase will entail a larger markup in terms of percentage compared to a larger purchase. Gold coins will be priced significantly further above spot price than will bullion. This is because coins tend to be more collectible and have a higher secondary-market demand. Expect to pay a premium for that. The rarer the coin, the higher the premium. However, for the most common of coins you may not encounter a premium. A good deal is defined as one that fits your budget.