Trading the world’s most popular commodity is a lucrative and highly accessible way to speculate on global economic trends. Used to power vehicles, generate electricity and manufacture everyday products, the demand for oil is consistently high, earning it the nickname “black gold.” Read on to learn more about How to trade oil, including what factors influence prices, popular strategies and different ways of investing in this exciting market.URL :theinvestorscentre.co.uk

Step 1: Choose your instrument

There are a number of ways to trade oil CFDs, including futures and options, which come with large standardized contracts and expiry dates. But for most traders, the most straightforward option is to trade crude oil futures (also known as WTI or US Crude Oil Futures) with PrimeXBT.

These futures contracts allow you to take a position on whether you think the price of crude oil will rise or fall at the time of expiry. They are settled either physically (through delivery of physical barrels) or via a cash settlement, depending on the terms set out in the contract.

The most popular way to trade crude oil is by using technical analysis, which involves analyzing chart patterns to identify potential opportunities based on supply and demand. In addition, it is important to keep abreast of upcoming events, such as OPEC meetings, which can drive volatility in the market. This can be done by looking at news feeds, watching videos and reading reports on the topic.