Crude Mega - A wealth destroyer or a Profit Machine!


#1

Hello Folks,

What’s your opinion on trading in crude… ?? Just look at the screen shot… The tech indicators are showing we should go short but look at the spike !!!


#2

Sorry to be judging but those are way too many indicators and all of them are lagging.
Indicators don’t predict future price movements.
Use them wisely.


#3

I totally agree with you… I am just experimenting with different indicators (lagging or leading) how one works on different instruments… I’ve come to a conclusion that nothing works on crude… It’s just crude… (More of gambling rather than trading … Just my opinion…)


#4

Crude is one of the most toughest markets to trade on a regular basis. For the next month try observing the international (WTI) chart.


#5

Any source you would recommend to watch the crude news… and possible movements … (I watch out for the EIA news for the crude production forecast vs actual production)


#6

The problem is by the time you get the news major price action will already be over. Try marking levels in price. It might help.
There are too many variables to look into like news from middle east, policies and statements from OPEC, US oil production and output, even sometimes tweets from Donald Trump, right now sanctions on Iran and crisis in Venezuela.
So very difficult to follow news and trade.


#7

Not just crude inventories, even inventories of crude derivatives like cushing, gasoline, distillates etc also matter.


#8

Also for us in India we need to see Dollar vs INR.


#9

I am just watching the price of NG … as the crude started rising… NG went down…

Agreed with you on USD/INR … Very critical… Apart from these anything else to look out for …


#10

NG can be quite volatile be careful.
Nothing else that comes to my mind right now. But please don’t hurry trading crude. Start with mini lots.
Just be careful and keep the risk managed.


#11

Agreed … But whenever I trade in mini… I make profits and rarely I make profits in mega… The profits are smaller in mini and losses are huge in mega … now I just watch the crude market … Very skeptical to take a trade …


#12

Getting a good sense on crude will take a very long time.
Better to trade in mini until you start making consistent profits. May take more than a year. You can increase lot sizes if you wish in mini. For example instead of 1 lot of Crude Oil you can hold 10 mini lots. This will also give you ability to manage risk accordingly.
My advice is not to hurry. Stay with mini lots until you are confident that you are capable of making bigger profits and smaller losses.


#13

Thanks man… I really do appreciate you views/opinions. will help me in the long run…


#14

All the best.
Enjoy trading, and keep the risk managed.


#15

Will do sir… thanks for the tips !!!


#16

Can you suggest some best leading indicators ?