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4 days ago · Brent crude oil has been trading in a tight range of $75-$90 a barrel since late 2022 as OPEC+ cuts keep a floor under prices while sizeable spare capacity, demand uncertainty and sanctions policy prevent the market breaking higher. After a series of gradual production increases that started in early 2021 which unwound historic cuts agreed during the coronavirus pandemic, OPEC+ announced new ...
Jun 29, 2024 · While there have been brief forays both above and below the current broad range since November 2022, the market seems unlikely to depart from it for long in the near-term without some major...
Sep 21, 2023 · Energy investors don’t share the enthusiasm of hedge funds and speculators, which have become the most bullish in nearly two years as oil equities are lagging behind soaring crude prices.
- Alex Kimani
Mar 17, 2023 · It has been trading in a narrowing range, and in that situation any breakout beyond the initial support or resistance usually proves quite significant. That is not because of any technical...
- Editorial Dept
- Learn What Moves Crude Oil
- Understand The Crowd
- Choose Between Brent and WTI Crude Oil
- Read The Long-Term Chart
- Pick Your Venue
- The Bottom Line
Crude oil moves through perceptions of supply and demand, affected by worldwide output as well as global economic prosperity. Oversupply and shrinking demand encourage traders to sell crude oil markets, while rising demand and declining or flat production encourages traders to bid crude oil higher. Tight convergence between positive elements can pr...
Professional traders and hedgers dominate the energy futures markets, with industry players taking positions to offset physical exposure while hedge funds speculate on long- and short-term direction. Retail tradersand investors exert less influence here than in more emotional markets, like precious metals or high beta growth stocks. Retail's influe...
Crude oil trades through two primary markets, West Texas Intermediate Crude and Brent Crude. WTI originates in the U.S. Permian Basin and other local sources while Brent comes from more than a dozen fields in the North Atlantic. These varieties contain different sulfur content and API gravity, with lower levels commonly called light sweet crude oil...
WTI crude oil rose after World War II, peaking in the upper $20s and entering a narrow band until the embargo in the 1970s triggered a parabolic rally to $120. It peaked late in the decade and began a torturous decline, dropping into the teens ahead of the new millennium. Crude oil entered a new and powerful uptrend in 1999, rising to an all-time h...
The NYMEX WTI Light Sweet Crude Oil futures contract (CL) trades in excess of 10 million contracts per month, offering superb liquidity. However, it has a relatively high risk due to the 1,000 barrel contract unit and .01 per barrel minimum price fluctuation. There are dozens of other energy-based products offered through NYMEX, with the vast ma...
Trading in crude oil and energy markets requires exceptional skill sets to build consistent profits. Market players looking to trade crude oil futures and its numerous derivatives need to learn what moves the commodity, the nature of the prevailing crowd, the long-term price history, and physical variations between different grades.
- Alan Farley
- 1 min
Apr 2, 2024 · Some common crude oil trading strategies are volatility trading, breakout trading, spread trading, and mean reversion are available. Selecting the appropriate strategy depends on your market understanding, appetite for risk, and investment goals when engaging in crude oil trading.
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Dec 13, 2018 · Although crude prices largely rise and fall together, there can be significant price differences between the different streams, depending on the type of crude (quality), supply and demand fundamentals (marketability) and costs to transport the crude to the final customer (logistics).
