CFD – trading contracts for difference

Oil has always been one of the most popular commodities, hence oil prices are always under a lot of attention.

It is a highly volatile market and very popular among traders around the world, because if you trade it right, it can quickly become your golden ticket.

Let’s look at a real example of one of Grand Capital client's trading experience. At the end of January 2015, Brent crude was traded below $48 for a barrel. On January 30, 2015, the trader bought CFD on February oil Futures Brent (BRNH5) (he purchased 1 lot at the cost of only $2 800 with 1:20 leverage). The price went up and the trader started receiving profit. The price stopped at $56.50 due to a number of factors, including the largest in the last 35 years strike in the US oil industry. On February 3, 2015, the trader closed the deal with $6 300 profit in just 4 days.

{% trans "A feature of financial markets is you can make not only deals for the purchase expecting price will go up, but also for sale expecting price will fall. Let’s see how to make money on copper." %}

{% trans "Industrial metals market is under pressure by a decline in demand and the overall bearish sentiment in the market of raw materials. Trader analyzes the schedule of the March futures HGH5, and he expects continuation of falling prices. . At the time of resumption of steady price movement down January 23 trader sells 1 lot futures (1 lot = 25,000 pounds) at a price of $ 2.5630 per pound, using its own funds $ 2350. January 26 he see the price approaches the level of growth and he closes the deal at a price of $ 2.4651. Financial result for 4 days was $ 2432.5." %}