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Mar 4, 2021 · Abundant and proven, oil will most likely remain the most popular energy source on Earth for some time into the future; one way to speculate on oil prices is through trading in oil futures.
2 days ago · Crude Oil. Gain direct exposure to the crude oil market using CME Group West Texas Intermediate (WTI) Light Sweet Crude Oil futures, the world’s most liquid oil contract. WTI Crude Oil futures and options are the most efficient way to trade the largest light, sweet crude oil blend. Hedge to minimize the impact of potentially adverse price ...
Oil futures trading is the act of buying and selling crude oil futures. Traditionally, you’d trade crude oil futures if you were an oil producer or used oil as an industry input. The contracts remove uncertainty the from future prices, thereby lessening risk. You can also use oil futures to speculate on oil prices.
WTI crude oil futures trade six days a week starting on Sunday at 5 p.m. to Friday at 4 p.m. Central Time (CT). There is a daily one-hour break at 4 p.m. CT. Each contract controls 1,000 barrels and has a tick value of $10 and a minimum tick size of one cent. WTI contracts expire monthly, and the contracts are physically delivered.
- Alan Farley
- 1 min
- Learn What Moves Crude Oil. Crude oil moves through perceptions of supply and demand, affected by worldwide output as well as global economic prosperity.
- Understand the Crowd. 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.
- Choose Between Brent and WTI Crude Oil. 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.
- Read the Long-Term Chart. 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.
Feb 23, 2024 · For example, NYMEX WTI Light Sweet Crude Oil futures trade almost 1.2 million contracts a day, according to the CME, with each contract representing 1,000 barrels of oil.
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Nov 3, 2019 · Just like any other futures contract, a Crude Oil future is a legal agreement between two parties to buy or sell a specified amount, of a specified product, at a specified time in the future. You can see how this process would be cumbersome if you were just trying to make money day trading futures. You’d have to go out and find someone who ...