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Trade Spot Energies with CapitalXtend

Choose a broker that you can trust, the one who supports you with everything that you need to excel as a trader.
Millions of traders choose to trade spot energies and here's why:

Diversify your trading portfolio with energy trading, including oil & gas trading, and safeguard your future against inflation. Spot energies markets are highly volatile, which helps investors make profitable trades. Moreover, spot energies are used to hedge against inflation because their prices rise during inflation.

crude oil trading tips
Advantage

Diversification

Spot energies tend to bear lower correlations to returns than other traditional assets. And since, they are individual asset classes, it diversifies the investment portfolio.

Advantage

Inflation Safeguard

Spot energies are considered to be a good hedge against inflation as their prices usually rise during high inflation periods. This helps in maintaining their purchasing power parity.

Advantage

Hedge Against Event Risk

In case of natural disaster or economic crisis, when there’s supply disruption, Spot energies such as Oil can guard you against loss by placing strategic leverage on price swings.

Advantage

High Leverage Facility

Commodity derivatives like options and futures provide a high degree of leverage. By paying only 5% to 10% of contract value, you can control a big position. Even an insignificant move in the commodities’ prices can lead to exponential gains.

What is Spot Energies Trading?

An easy and convenient way for you to diversity your portfolio.

When commodities such as Oil are traded for instantaneous delivery, it is a great and a flexible way to expand the investment portfolio conveniently. The popular assets among these are UK Brent Oil, US Crude Oil, US natural gas etc.

The term "spot energies" means the commodities are being sold at the, intending to be delivered to the buyer immediately. Spot energies are the commodities that are traded on the spot markets i.e., with spot prices. Crude oil trading provides investors with great opportunities to profit in almost all market conditions as well as political systems. Moreover, the volatility of the energy sector is surged significantly in recent years which ensures strong trends, producing consistent returns for short-term trades (swing) and long-term strategies (timing).

These are the 2 major oil market participants – WTI (West Texas Intermediate) in North America, which trades on NYMEX. And in Europe, Africa, and the Middle East, there's Brent Crude (North Sea Brent Crude), which trades on the ICE (Intercontinental Exchange).

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forex crude oil
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Specification of Spot Energies

Get an overview of Contract size, Tick size and Swaps.

SYMBOL FULL NAME CONTRACT SIZE TICK SIZE MARGIN (%) SWAP LONG (POINTS) SWAP SHORT (POINTS) TRADING PLATFORM
WTIUSD Oil - US Crude 1000 0.001 5 32 -102 MT4 / MT5
BRNUSD Oil - Brent Crude 1000 0.001 5 42 -124 MT4 / MT5
NGCUSD Natural Gas 10000 0.0001 4 -2 -1 MT4 / MT5

More Than Just an FX Broker

Diversify your investment portflio by trading CFDs on than just Forex.

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15 Years Industry Experience

CapitalXtend is formed by industry experts, providing utmost reliability and complete transparency.

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Ultra Tight Spreads

Monitor your trading costs and improve profitability with CapitalXtend. Trade with highly competitive spreads, round-the-clock

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Safety of Funds

Your funds are completely safe and secured in segregated accounts, with the protection of negative-balance.

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24/7 Customer Service

Our customer service is available in different languages – get in touch with CapitalXtend without any hesitation.

New to oil trading? Start investing in crude oil with CapitalXtend.

FAQs

To start trading oil CFDs, the first step that you have to take is to learn how CFDs work and find a reliable broker. Before you even consider trading oil CFDs, it is wide to get an in-depth understanding of the market and the technical analysis tools since oil CFDs are high-risk and complex.

Brent Crude and West Texas Intermediate (WTI) are the most important benchmarks for oil trading in the world.

The oil market is global. But the crude oil has several regional grades, each one slightly different in terms of viscosity and Sulphur content. The major oil trading regions have benchmarks for monitoring the prices of oil commodities:

  • WTI (USA)
  • Brent Crude (Europe)
  • Dubai Crude (Middle East)
  • Western Canadian Select (Canada)
  • Bonny Light (Nigeria)
  • OPEC Reference Basket
  • Urals (Russia)
  • Tapis (Singapore)

Yes, oil trading is considered to be less risky than trading stocks. Also, it is a perfect way of hedging your stock portfolio since there is a negative correlation between equities and commodities.

You will need to get acquainted with two oil reports:

  • Department of Energy (DEO) Oil Inventory report
  • Organization of the Petroleum Exporting Countries (OPEC) Oil Market report
how to trade crude oil