What is Commodities Trading
Commodities trading are the perfect addition to a trader's portfolio. It holds many benefits for beginner traders as well as experienced ones. Once you trade responsibly, you can achieve great results. Below, we made a list of some of the biggest benefits of trading various commodities.
Online Oil Trading
The pairing of the currencies is presented as a rate, which reflects the ratio between the values of the two currencies. For instance, the rate for buying the pair GBPUSD is 1.50514, i.e. £1 GBP = $1.50514 USD.
Crude Oil Trading
Trade oil and a range of energy products on the most advanced platforms with high leverage, competitive spreads, and exclusive news, analysis and educational materials.
Low Commissions
For traders who are making a lot of short- term trades, commodity trading is exactly what they need. The commission on commodity is lower than most other tradable financial assets, which makes it ideal for short term traders.
Understanding The Oil Market
There are a number of factors that drive the volatility of the oil market. First and foremost is the huge demand for oil as fuel and in industry. Supply and demand is crucial to determining the oil price – particularly as the yield from certain major oil fields declines. Political instability is also an influence on oil prices – some of the main oil production centres are in unstable regions and this can affect production. Market sentiment is also hugely influential on the oil price – particularly in terms of short-term speculation, which accounts for the overwhelming majority of oil trades. As an QFOREX client you’ll get a wide range of material, such as reports, news updates, economic calendar and market analysis, to help you assess the market and make educated decisions.
Here are 4 main categories of commodity types:
- Precious metals - Gold or silver.
- Agricultural - Corn, wheat, or cotton.
- Livestock and meat - live cattle or pork bellies.