Gold has asserted itself as the primary trading asset at the Australian brokerage Axi, a trend that signals a broader transformation in the Contract for Difference (CFD) sector as traders seek opportunities in the volatile precious metals market.
The firm has reported that XAU remains its top contract, with trading activity more than doubling in recent months. This surge comes as the price of gold recently approached a historic peak of $4,888 per ounce before settling at around $4,836. After a remarkable increase of 65% last year, gold has continued its upward trajectory, rising another 12% in the initial weeks of 2026.
“Interest in gold trading has more than doubled, firmly keeping XAU as the most traded instrument across the platform,” stated Thiago Duarte, Market Analyst at Axi, in an interview with FinanceMagnates.com. He noted that traders are primarily attracted to volatility rather than just directional movements, with significant intraday fluctuations appealing to both short-term traders and those with longer-term macroeconomic perspectives.
Axi”s experience mirrors broader trends in the retail brokerage space, where CFDs on metals constituted over 60% of global broker volumes in the first half of 2025, with approximately 80% of that activity focused on gold contracts. Some platforms even reported that gold trading represented 90% of total volumes during peak trading sessions.
This bullish sentiment in gold has prompted various operational changes across the industry. For instance, FXPrimus increased leverage on gold positions in October, while OANDA has warned of heightened volatility risks as the gold rally persists. More recently, Scope Prime adjusted its spreads following the CME Group”s shift from fixed to percentage-based margin requirements for precious metals futures.
Even within the crypto space, interest in gold has surged. BingX reported that gold futures contracts have been generating over $500 million in daily volume, accounting for half of the exchange”s total $1 billion in traditional finance trading activity.
Duarte highlighted that improved execution quality has been a significant factor in sustaining these elevated trading volumes. Tighter spreads across the industry have made trading gold CFDs more cost-effective, especially during periods of volatility when transaction costs become a critical consideration for traders. Consequently, demand for gold as a trading vehicle has remained robust, even amid price pullbacks, indicating a shift in attitude where gold is no longer merely an occasional hedge but a fundamental trading asset.
This renewed focus on gold comes at a time when Axi is also enhancing its product offerings and institutional capabilities. In July, the company launched AxiPrime, a liquidity solution designed to handle up to 500,000 orders per second, and added 150 crypto contracts earlier this month, alongside the appointment of former eToro risk executive Sotiris Karagiorgis.
Duarte outlined three key factors that could support gold”s momentum moving forward: the struggle of real yields to rise decisively, the pressures of stretched equity valuations which increase sensitivity to market shocks, and relatively light short-term positioning that can amplify price movements during periods of uncertainty. He noted a feedback loop effect where price breakouts attract momentum traders while dips draw in defensive buyers.
“Gold is entering a phase where pullbacks are likely to be tactical rather than trend-ending,” he said. “As long as volatility remains elevated, gold should stay well supported, with upside risks outweighing downside concerns in the months to come.”
Analysts have set ambitious targets for gold, projecting prices as high as $5,000 to $6,000 for 2026, following a rally that intensified after concerns regarding Federal Reserve Chair Jerome Powell”s central bank independence emerged in early January. Currently, gold is in a price discovery phase, with technical analysis indicating a potential target at $5,000 based on a 100% Fibonacci extension.
New institutional products are also emerging in response to retail demand. GCEX recently introduced gold futures CFDs, offering a viable alternative to rolling spot and non-expiring CFD structures for professional traders navigating the current market volatility.
