What you should know in terms of buying gold?

What kind of gold should I buy?
With prices at an all-time high, I don't think now is actually the best time to invest in gold. Instead, invest in a domestic stock fund. These funds are under valued, since stocks have been underperforming during the recession, and you're likely to see out sized gains in the next few years. In contrast, gold has been a safe investment during the recession, and it is likely not to see the same kinds of gains now that the economy is getting back on track.

However, if you are set on buying gold now, you can buy an ETF (exchange-traded fund). GLD trades based on the price of gold. UGL is a big bet on gold; as a double gold ETF, when the price of gold increases 10%, your earn 20%. (Look out, though, as when the price of gold falls 10%, you lose 20%.) You can also trade gold mining stocks with GDX. GDX doesn't trade the price of gold, though. It mirrors the NYSE Arca Gold Miners Index.

Given today's uncertainty regarding the world's largest economies you can make very convincing argument that the gold prices will continue to rise. Can they fall? Sure. For example, if China's Real Estate bubble is real and in fact burts in 2011, then the gold prices may fall as China is the 2nd largest consumer.

I am both ends meet up here alone this article, because I still do not understand about Gold Investment. Hopefully the article can be motivating or add to your knowledge.