Global oil prices have fallen sharply over the past seven months, which is great for all of us as cheaper oil means that we’re paying less to heat our homes and drive our cars.
There’s another reason why falling oil prices are making people smile…
If you are a Forex trader, you have countless opportunities to profit every day from trading in both falling and rising commodities such as oil, gold, corn and coffee. That’s right, you can make a profit even if oil is taking a tumble in the markets, which it currently is.
Let’s take a look at oil and see how it has fallen!
We asked Janne Muta, HotForex’s Chief Market Analyst, for a real example showing us how much a trader could have made if they had traded oil based on the above chart.
Janne told us, “For this example, let’s just say that US oil had a pip value of 1 USD and each dollar had 100 pips. Crude Oil fell $60 since October 7th 2014, so traders who sold short 100 barrels could have earned a $6,000.00 profit! The margin cost for 100 barrels at the time was only $100.00! That’s an incredible 6000% return!!”
There you have it. You could have made $6,000*!
Risk warning: Trading Forex and CFDs is risky.
If you like Janne’s chart on oil and want to see a lot more, you can follow Janne and the rest of the HotForex Market Analysis Team here – https://analysis.hotforex.com.
Start Trading Oil Today
If you already have an account with us, simply login to your myHotForex Client Area now and start trading oil.
If you’re brand new to trading, it’s easy to open your trading account with HotForex. Simply click here and fill in your details.
Now that you’re making savings on heating your home and running your car, why not make an investment and trade oil today!
*Past performance does not guarantee future results. When trading Forex and CFDs it is possible to make winning and losing trades.
Disclaimer: This material is considered as a marketing communication and does not contain and should not be construed as containing investment advice.
Risk warning: Trading Forex and CFDs is risky. Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary seek independent advice.