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As the price of gold approaches $700, it's worth taking a closer look at ETFs that focus on gold.

streetTRACKS Gold Shares (NYSEARCA:GLD) and iShares Comex Gold Trust (NYSEARCA:IAU) follow the price of gold, while PowerShares DB Gold (NYSEARCA:DGL) tracks gold futures. There is also Market Vectors Gold Miners (NYSEARCA:GDX), which follows the gold mining companies. As with any investment decision, it is important to know what you are buying, know the risks, make sure it fits into your investment goal and have a stop-loss in place.

Sean Broderick of MarketWatch.com has a few reasons why the price of gold may continue to be a source of strength:

  • China can't get enough gold.
  • Two India Gold ETFs are launching.
  • The existing gold ETFs are pumping up demand.
  • Investment demand is rising.
  • Central bank gold stockpiles have dropped to a 60-year low.
  • Miners can't find new deposits quick enough.
  • Gold charts show opportunity.