An oil broker is an intermediary that arranges the purchasing and selling of a crude oil commodity. Typically forex crude oil oil broker is a licensed security trader that either works directly at a market exchange or remotely via the Internet and telephone.
The world of online oil trading is a bit different. Most companies will offer a CFD or contract for difference, allowing traders to speculate directly on the price of oil without worrying about the complexities of negotiating futures contracts. This allows traders maximum flexibility, offering trades in the space of miliseconds. Traders generally buy and sell light sweet crude, but brent oil is also a possibility on some platforms. The leading Social Trading platform with 4. An efficient, secure deposit and withdrawal experience. ATFX welcomes Scalpers, Hedging, Expert Advisers and more.
Intuitive trading software is becoming very popular, especially in the Forex world. One of the best ways to take advantage of the Forex market is through a mini account. Traders in the UK will appreciate this list of UK Forex brokers. An MT4 broker is commonly used by those online for foreign retail exchanges. 10,000 bonus when you deposit today!
The information contained in this publication is not intended as an offer or solicitation for the purchase or sale of any financial instrument. Company was established to provide global traders a deep and insightful source of information on forex trading, its key strategies and indicators. With guides for everyone from beginner traders in Bangladesh to advanced strategists in Hong Kong we want the world trading community to benefit from our in-depth broker reviews, features, and commentary. We aim to think global, act local with our website, so that whether you’re in Asia, Europe or Africa you can gain from our content on the world’s biggest market. Crude oil is a naturally occurring petroleum product commonly used in energy production and manufacturing. It is typically purchased with the intent to be refined into everyday uses such as diesel, gasoline, heating oil, jet fuel, plastics, cosmetics, medicines and fertilisers. As such its price has a dramatic impact on the global economy.
It is traded in high volumes all around the world. Learn To Trade Oil – Free Webinars, Ebooks and 1:1 Training at Markets. In general, higher oil prices tend to undermine economic growth as this increases travel and shipping expenses, which increase inflationary pressures. If the price of oil remains high over a long period, the cost of downstream products like plastics and fertilisers are affected as well. The leading Social Trading platform with 4. An efficient, secure deposit and withdrawal experience. ATFX welcomes Scalpers, Hedging, Expert Advisers and more.
What this means, from a trader’s point of view, is that when the price of oil is high and has remained high for some time, oil producers take steps to reduce the price. OPEC agree to production slowdowns, and importers reduce purchases. When the price of oil remains low for too long, the companies that explore and drill for oil cannot raise the capital they need to find and produce enough of it. Because a sufficient supply of oil is essential to the economic security of all of us, it is critical that these companies be able to continue their work. But there are other events that have to be observed when trading oil. Geopolitical insecurity almost always has a direct effect on the price of the commodity. War, or the threat of conflict, will push the price of oil up.
The trader also has to be aware of the destabilising effect that shale oil production in the US has had on the global oil price. The industry is still trying to adjust to the vast changes that this trend is imposing on it. Forex platforms now provide ways for you to trade into oil futures, without actually having to trade the futures themselves, and thus avoiding the necessity of ultimately taking delivery of the oil which is a concomitant of the futures trade. In line with the world’s standard, there exist two major classifications of crude oil, and different platforms trade each. The WTI is considered light with low sulphur content, is used commonly in US. The light density coupled with less impurities makes WTI oil a sweet crude oil, meaning it has a low density, and is more economical to refine and transport.