Oil - WTI / Brent Crude

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Dallas
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I was waiting for sub $30 to open a small but v.long term long position, think i may try and hold off to at least $25s

http://www.cnbc.com/2016/01/10/us-crude ... bound.html
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marksmeets302
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No crystal ball here either, but due to a little bit of rebalancing my average price for oil got a lot lower. Don't think I can go wrong with that... And even if oil is going to 20 or 10.. Happy to buy more when we're there!
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Euler
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1c short of <$29 today, just never ever thought I would see that. I remember the $20 barrel in the 90's. It's seem remarkable that a scare resource can plunge so much.

I noticed Iron Ore is less than $40 as well from near on $200. That's a more worrying trend. There's a whiff of crisis out there.
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Dallas
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Euler wrote:1c short of <$29 today, just never ever thought I would see that. I remember the $20 barrel in the 90's. It's seem remarkable that a scare resource can plunge so much.

I noticed Iron Ore is less than $40 as well from near on $200. That's a more worrying trend. There's a whiff of crisis out there.
Absolutely crazy
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superfrank
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Dallas wrote:Absolutely crazy
crazy is the prices of bonds, stocks and property (where all the funny money has ended up). commodity prices reflect weak demand in real economies (aggravated in the case of oil by the demise of a price fixing cartel).
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Euler
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7c short of $28 in this mornings trading. Most indexes down 3% or so. Market is very nervous at the moment.

The problem is cheap money has created more capacity, too much. And asset prices have chased yield beyond reasonable levels. Nothing has really changed apart from monetary policy is now totally ineffective in combating a recession, as there is no wiggle room.
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superfrank
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Euler wrote:The problem is cheap money has created more capacity, too much. And asset prices have chased yield beyond reasonable levels. Nothing has really changed apart from monetary policy is now totally ineffective in combating a recession, as there is no wiggle room.
good article in Telegraph highlighting the pickle central banks have got themselves into by taking the easy option of ever cheaper money...
World faces wave of epic debt defaults, fears central bank veteran
http://www.telegraph.co.uk/finance/fina ... teran.html
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Euler
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On the way past $27, my finger is getting itchy.
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Dallas
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Not so long ago i was just occasionally glancing at the prices sometimes just once a week, now i always have the chart open and checking it every few hours
steven1976
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If you were to buy into oil, what is the best way to go about it?
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Dallas
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steven1976 wrote:If you were to buy into oil, what is the best way to go about it?
Do you mean to trade the price movements?
Or buying the actual instrument

I use a CFD platforms (plus500 & trading 212) to trade the price movements
Last edited by Dallas on Sun Jan 24, 2016 2:27 pm, edited 1 time in total.
steven1976
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Yes the platforms and best way to go about it. Do you have to buy and hold onto it for specific amount of time or can you sell it off at any time with oil?
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Dallas
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Its identical to how its done here you can open and close in secs and scalp the price or hold a position over weeks, months or even years.

I found those two platforms very user friendly.

You can open demo accounts with both for free which works the same a Practice mode on here
xitian
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What's the instrument you're actually trading though? I presume you can trade oil futures, an oil ETF, or go with a spreadbet on the oil spot price, possibly others? I doubt you want to actually buy a barrel of oil!

What's the recommended instrument, and why, or is it all pretty much the same? I expect it depends on the size you want to trade and the time frame you want to speculate/invest for?
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Dallas
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xitian wrote:What's the instrument you're actually trading though? I presume you can trade oil futures, an oil ETF, or go with a spreadbet on the oil spot price, possibly others? I doubt you want to actually buy a barrel of oil!

What's the recommended instrument, and why, or is it all pretty much the same? I expect it depends on the size you want to trade and the time frame you want to speculate/invest for?
The platforms i use are for CFD's (contracts for difference) You never own the underlying asset its just speculation on the market price - just as we buy and sell odds on here on the financials its buy and sell the price (effectively trading the price movements rather than the odds)
You can trade 1000s of markets across Forex (currencies), commodities, stocks and indices
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