The symbol
One symbol.
Two things to read.
XAUUSD, also written XAU/USD, identifies gold quoted in US dollars. Gold prices are commonly expressed per troy ounce. A troy ounce is a unit of weight; it is not an account balance or a position size.
The quote
There are two sides.
The bid is the quoted selling side. The ask is the quoted buying side. Those are two different prices, even when they appear next to the same symbol.
- Bid
- 2400.00Quoted selling side
- Ask
- 2400.08Quoted buying side
In this example, 2400.08 is the ask. Reading that label correctly is the goal of this exercise. A displayed quote is not a promise of the price at which an order will execute.
The difference
The gap has a name.
The difference between ask and bid is the spread. Subtract the smaller bid from the larger ask:
Here, the spread is 0.08 USD per troy ounce. It is a price difference. It is not the total cost of a position, a profit forecast or a percentage return. This invented example does not describe a fixed or typical broker spread.
Keep the units with the numbers.
A symbol and quote alone do not tell you a product's contract size, total exposure, margin requirements or complete fees. Those depend on the provider and the product's specifications.
Put it together
A quick check.
Use the same simulated quote: bid 2400.00, ask 2400.08. Choose an answer to see an explanation, or open the answer notes beneath each question.
01 / 03 Which number is the quoted buying side?
Answer notes
2400.08, the ask. The ask is the quoted buying side. The bid, 2400.00, is the quoted selling side. The 0.08 spread is the difference between them.
02 / 03 What is the spread in this example?
Answer notes
0.08 USD per troy ounce. Subtract bid from ask: 2400.08 − 2400.00 = 0.08. Adding the prices does not give the spread, and a price difference does not imply a return.
03 / 03 What does a gold CFD give you?
Answer notes
A price-linked contract. A CFD is a derivative contract with a provider. It does not give you ownership or delivery of the underlying gold. Understanding the quote is only one part of understanding its risks.
Keep learning
Go to the source.
These primary references support the concepts in this lesson. A source link is a reading reference, not a recommendation of a provider.
- ASIC MoneySmart: contracts for difference Ownership, leverage and CFD risks.
- MetaQuotes: price data in MetaTrader 5 Bid, ask and how price data is presented.
- OANDA: XAU/USD instrument explanation Gold's USD and troy-ounce quote convention.
Source review: 18 October 2026. Rules, protections and product terms differ by jurisdiction and provider.
Read the symbol. Identify the two prices. Keep the units.
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