Crude oil trading platform
Oil is the main source of energy in the world, which means constant news and events related to commodities, with politics being the main factor in the operation of the oil market. Fortunately, with the globalization and technological changes in financial markets, accessing an online service is fairly easy. The crude oil trading platform will give you access to the market. You have many options as to which platform you want to use. There are so many platforms available that it can be quite confusing to ask which one is best to use for your individual needs. But there are certain things that you should pay attention to during the selection phase.
The first thing you should think about when choosing a trading platform is whether it offers any indicators.
There are many trading platforms that provide indicators. Some even provide you with the ability to customize these indicators for specific market analysis. Obviously, you don't need to stick with just 1 index. But in the event that you can find one that gives you reliable signals, then you absolutely need to create a use of this indicator in your daily trades. Just make sure the platform you are looking for offers reliable signals for your chosen time frame.
Our platform offers all kinds of indicators and charts, from simple to complex, that you can customize for yourself. You should definitely be able to decide on the right metrics for your requirements. Take a close look at the type of indicators available and choose the ones that best suit your trading style. But nevertheless, they highlight the most popular indicators that have proven themselves well, and you can also use them with us. Here is some of them:
- Momentum. This is the simplest indicator for calculating the moment of entering the market. It calculates the percentage difference between the price of the current candlestick and the previous candlestick.
- Bollinger Bands. The main purpose of creating the indicator was to identify volatility in the market at a certain moment.
- RSI or Relative Strength Index is one of the most popular indicators. Graphically, the indicator line fluctuates between the values of 0 and 100, periodically crossing the axes 30 and 70. The RSI indicator signals a situation when a certain trading instrument is overbought or oversold. An asset is in the overbought zone if the indicator crosses the 70 axis upward. An asset is in the oversold zone if the RSI crosses the 30 axis from top to bottom.
- MACD is similar in principle to the Momentum indicator, although it is more complex and sophisticated. Signals of the MACD indicator speak about:
- the possibility of opening deals for an increase or closing deals for a decrease when the indicator line crosses the zero axis upwards;
- the possibility of opening positions for a fall or closing deals for an increase when the indicator line crosses down the zero axis;
- divergence or convergence, etc.
With the help of graphs, traders also observe price changes and make predictions. The price movement is displayed by various types of charts, there are only 3 main ones:
So, charts and indicators are important elements of technical analysis. Without which it is difficult to imagine successful trading. And without which no good crude oil trading platform can do.
Technical analysis studies the price movements of financial instruments and their trading volume. Based on past data, traders and analysts predict future price movements.
Another important factor when choosing a trading platform when trading crude oil is your customer support. Many people are suspicious of trading platforms that do not provide good customer service. If the platform has a customer support department, that's a big plus. Our brokerage site provides you with 24/7 technical support by calling a free hotline, you will not be left alone with your question, we will help you solve it.
One of the most crucial components to consider when deciding on an online trading platform is ease of use.
Platforms should be easy to learn and operate for a novice or experienced trader to prevent wasting time and effort. Our site will allow traders to work with a user-friendly interface and understandable functions, which can increase efficiency and save time during transactions.
How to make money trading crude oil?
When you start out with your own investment strategy when investing in crude oil, you must first consider certain factors. What are the specific features of oil trading? What factors affect the cost, and much more.
Knowing the fundamental characteristics of crude oil and understanding what is happening in the market will give you an edge over others and help you decide which path to take. Oil is known to be one of the world's main resources. Its use began 5,000 years ago. Since then, it has become not only the engine of progress, but also the cause of many wars.
Today, oil is the most demanded energy resource. Therefore, it is simply impossible to imagine exchange trading without it.
The composition, as well as the quality of raw materials, depends on the place of extraction. The mixture of crude oil produced in different fields is called a grade. There are more than 200 varieties of the world today.
The most popular among them are:
- Brent refers to oil that is produced in oil fields in the North Sea. The Brent oil price is the benchmark for African, European and Middle Eastern oil. The pricing mechanism for Brent dictates the cost of about two-thirds of the world's oil production;
- West Texas Intermediate (abbreviated as WTI) WTI is the best crude oil for the production of gasoline, while Brent is better suited for the production of diesel fuel. The price of WTI crude is slightly lower than Brent.
Previously, only large investors could trade in oil, who had the opportunity to enter the American markets of insurance deposits and futures contracts. Today, even novice traders can work with this tool. To do this, you can use our crude oil trading platform, register and start trading.
There are many ways to make money from crude oil.
Often, oil trading is done through the use of Contracts for Difference (CFDs). Profit is generated from the difference between the purchase and sale costs. In fact, it is simply an agreement between the buyer and seller of a contract to transfer the price difference to the underlying asset.
An important feature of Forex oil trading is the presence of leverage. It allows you to operate in the process of trading in amounts that are several times higher than those placed on the account.
The specific factors that should be taken into account when buying and selling oil CFDs can be listed for a very long time, so we will name only the most important ones. So this:
- the growth rates of the GDP of the USA, China and the whole World. The faster the economy grows, the higher the demand for energy resources;
- volumes of oil production by OPEC countries. In recent years, the cartel's decisions have become increasingly politicized and aimed at retaining market share rather than maintaining high prices;
- demand from industrial production;
- geopolitical conflicts, wars;
- fluctuations in the foreign exchange market. A rise in the dollar index puts pressure on prices, etc.
The main tool of a trader is information. If you seriously want to make money trading oil, you will have to carefully monitor the news background. Weather conditions, political decisions, corporate news, economic reviews and forecasts - we are interested in everything that can affect the price of "black gold".
In the oil market, there are not only consumers of this raw material, but also speculators. Therefore, technical analysis should be added to the fundamental analysis of prices. Try to find patterns in price movement and use them.
How to start crude oil trading?
There are strong external factors that can put serious pressure on the price of oil. Just as in the currency market, news can push the market, you just need to keep an eye on world events. By trading CFDs, an investor gets to fully trade Brent or WTI oil with leverage and small contracts, which do not require a large cash investment and allow you to make money on oil.
If you have little experience and are afraid to invest right away, we suggest you start with a demo account on our platform.
Your account will automatically be credited with $10000, a virtual sum which will allow you to trade without your own money and gain experience. Here are some of the benefits you can enjoy if you open a demo account to trade crude oil. You will learn how to trade. There are many types of trading, involving different strategies. This usually means that you will be able to learn the principles of different types of transactions and their processes.
You can practice a little to improve your skills. However, you cannot expect to make as much profit as the best traders if you do not know the principles and methods they use. With a demo account, you can become familiar with the procedures and rules of this trading. This will help you develop your own strategy. A demo account is your security. As it does not involve any real money. Try it, you will learn some really valuable skills!
The other option is to open a real trading account. In this case, you will only need to make a deposit of $10. It's a small amount of money that will enable you to take full advantage of the market and start playing for real. Our platform has the facility to offer timely and reliable data. When you open an account, you'll be able to check all the information you need. Quotes, news, data charts, etc.
You can also download our mobile app, and you can shop and trade wherever you like, without being tied to a PC, which is very convenient!
To understand how to start trading crude oil, you need to come to a solid understanding of the commodity market. This consists of over 100 video lessons on a variety of subjects related to stock trading. Not only will these lessons teach you more about the market, they'll give you the skills and knowledge you need to trade effectively. They will equip you with a comprehensive understanding of the rules governing trading, as well as help you gain an understanding of the strategies that agents use to profit from a volatile market.