Posts Tagged ‘trading’

Year End Commodity & ETF Trading Signals

Well, here we are with only hours left before the year is over. Virtually every investment is up other than the US dollar.

Not much has changed since my last gold market trends report. But I have provided some interesting charts that show us what is possible in the coming weeks for the dollar, gold and natural gas.

US Dollar Trend Analysis – Resistance Levels
The dollar has shown some strength in the past month. It was a no brainer trade for 2009. You were either long gold or short the dollar. The chart below shows the key resistance levels for the $USD. I have a feeling we are going to see the dollar test the 80 -81 levels before rolling over and heading south again.

If this happens then gold and silver will continue to pull back. I am actually hoping the dollar moves higher and gold drops back to test the $1000-1060 level. This would clear the way for gold and the dollar to continue with their longer term trends with increased momentum (dollar collapses, gold goes parabolic).
Dollar Trend

GLD Gold ETF – Daily Chart
The daily gold swing trading chart is really starting to look attractive for a buy signal. Depending on what the US dollar does in the coming days will set the tone for gold.

We could see gold start to rally starting tomorrow or it will become volatile and start to sell off sharply in the coming days. Right now we have very light volume so any moves/breakouts cannot be taken seriously or with a large position.

If the dollar starts to rally we could see the GLD ETF drop to the $97.50 – $103 level.
Gold Trend Trading

Spot Gold Trend Analysis – 18 Day, 1hr Bar Chart
Starting in 2010 I will be providing futures trading analysis and signals so I thought I would provide a chart of the spot gold trend I have been day trading over the holidays.

This may seem like I am going against my #1 trading Rule – Never Trade Against the Trend, but the trend changes depending on time frame and trading style you are using. In short, gold reversed very strong 18 days ago just as we anticipated it would. The selling momentum was so strong it made for excellent gold futures day trading setups which I took advantage of over the past 10 trading days.

The chart below is of the 100 ounce gold GC Feb 10 futures contract which I traded. The chart is shrunk down and does not show my setups, nor does the chart look very sexy, but it clearly shows the direction of the trend and the BIG SELLING VOLUME.

The table shows my recent trades and if you take a close look all of the trades I did were Short Trades. Because the momentum and trend is down on this time frame I only traded perfect short setups (profiting from gold as it loses value).
Gold Futures Trading

UNG Natural Gas Trading Fund
UNG appears to be trading at resistance and starting to look like its rolling over. It did move above last weeks high which voids the reversal candle we had Tuesday and Thursday, or else it would have been a short setup for us. I don’t chase a trade, that’s my #2 rule, so I am waiting for a possible bounce here, test of resistance then another reversal back down.
Natural Gas Trends

Commodity & ETF Year End Trends:
In short, we continue the waiting game for more setups in the coming weeks as volatility and volume creep back into the market. The dollar and gold are currently trading at pivot points and no one knows which way to play them.

Trading futures run virtually 24 hours a day and have provided some excellent trading opportunities that I will be providing in the coming weeks for traders.

Natural Gas is trading at pivot point and looking ready for another move down.

Crude oil and the board market I feel will top out in the next 2-5 days but nothing worth putting any money on at this time.

I would like to thank everyone for their kind words and support over the past 12 months. I wish you all a happy and safe New Years!

Chris Vermeulen is Founder of the popular trading site http://www.thegoldandoilguy.com. There he shares his highly successful, low-risk trading method. Since 2001 Chris has been a leader in teaching others to skillfully trade in gold, oil, and silver in both bull and bear markets. Subscribers to his service depend on Chris’ uniquely consistent investment opportunities that carry exceptionally low risk and high return.

Reach Chris at: Chris[at]theGoildAndOilGuy[dot]com

Article Source:http://www.articlesbase.com/investing-articles/year-end-commodity-etf-trading-signals-1647286.html

Day Trading Basics: How This Ensures Your Profitability

Hearing day trading will make one conclude it as an alluring offer, and in relation thereof, day trading basics sounds straightforward. Your boss, your debts and your mortgage is no longer a problem because you can literally liberate yourself from them by making short term investments and close them out with profits. On the other side of it, one of the biggest challenge for professional day traders is making sure of their profits.

You can separate yourself from other traders who struggle just to return to them their original day in and day out investments and overcome this challenging factor of day trading basics. Your profitability as a day trader can be assured by applying the proper day trading training basics, and will truly reap the lifestyle benefits that day trading provides.

1. Focus on one market area

Huge volume of market activity is one of the biggest challenge for most traders. Short-term trading lends itself easily to impulsive reactions to market movements. Proper notice is crucial to profitability, however, it is convenient to be swarmed.

To have a better profit, concentrate on one market area, familiarize the trends in that market area and be a specialist on the leading companies engaged on that particular market. Maybe you like resource metals, or green energy firms. Know the latest trends, analyze its enclosing rules, and target their client market. In this manner, if anything will occur in your market area, you will be able to know and infer properly the information to arrive at a better and profitable trading spot.

2. Get fundamental

Ask first yourself if it is an emotional or a fundamental choice before making any trade. Most important aspect of day trading basics is not to disregard the fundamental values and properties of the goods you are buying and selling. Thinking on the terms of numbers on a screen is simple, however, you may overlook the chances when you do not base verdict on the concrete products behind those numbers.

3. Minimize your losses

Limiting your losses is the simplest process to make sure your personal profitability. Discipline is necessary for you to have with respect to your trading, as well as steadfast system about your actions in case of drops in a given trade. Buy and hold is an inappropriate step with day trading training. You’re not in this for the long haul-you’re in this for the money. Have stop-loss metrics and stick with them no matter what your “gut instincts” are telling you about the stocks. Honest are numbers, so when it is time to bail out, sever you losses and start to trade again.

4. Leave your emotions at the door

In order to master your day trading basics, you’ll want all the volatility to be in the marketplace, not at your place. When you get to the place where you do your trading, you need to be able to leave your personal emotions at the door.

Invest intelligently, and study to watch for your own warning indicators for you not to invest out of rage, disappointment, misery or jubilation. You need to make wise trades and walk away victorious. Conduct a research and be an analyst and tranquil trader. The money you make over the span of a smart career will feel much better than any temporary high of emotional investment.

Improve and guarantee your profitability!! Learn and master your day trading basics. visit http://www.trading-courses.org/ for more information.

Article Source:http://www.articlesbase.com/investing-articles/day-trading-basics-how-this-ensures-your-profitability-1632624.html

How to Read Stock Charts: A Stock Trading Guide for Beginners

If you are a newbie in the exciting world of stock trading, then one of the first things that you must do is to learn how to read stock charts. In fact, stock charts are the first items that will hit you as soon as you start working with stocks. It is crucial that you develop the competency in reading and interpreting stock market charts as these are your veritable lifeline to a financially rewarding stock trading activity. It is important that you are able to get a clear understanding of historical information and trending in the stock market.

Before you even have to start learning how to buy stocks, it is essential that you consider those huge number of stock market charts that are extensively being used by stock market experts in predicting future stock prices. In fact, their expert opinion and recommendations are largely based on the trends indicated by these charts.

The phenomenal leaps and advances in the field of information and communication technology has brought about a more convenient setting by which we can access the critical information and data related to stock trading. In fact, there is now a wide array of online programs and software applications which can churn out a wide range of stock charts that you need with the use of appropriate stock quote or symbol.

Further, we are now seeing the emergence of more complex stock charts which cover figures and data beyond the traditional 60 and 90-day stock price trends. This means that learning how to read stock charts is not only an exclusive concern by beginners as even the seasoned players in the stock market need to keep up with these major developments in accessing and interpreting more sophisticated sources of information.

For instance, you will need to use advanced applications if you pursue interesting details like the use of the Fibonacci sequence in predicting stock reversals. So before you start thinking of the best way on how to buy stocks, it is incumbent upon you to start looking for the right tools in accessing the appropriate stock charts that you need in making an informed choice.  As a starter, your standard will be the stock market charts that will provide you stock prices based on a defined timeframe. You will also have to look at stocks charts that give you the Dow Jones 30 or S & P indices.

The truth of the matter is that learning how to read stock charts will slowly become an art form. There will always be an opportunity for you to learn new things. Even financial experts believe that it will take several years before you can become a master in reading and interpreting stock charts. You might be wondering if there is a really need for you to learn how to read stock charts. The answer is a resounding YES. Stock charts are your way in determining what those “big money earners” are presently doing. Your interpretation of the information you get from these stock charts shall be your basis whether it is safe to invest your money on a particular trade or not.

Shane is a financial advisor, stock broker, and professional consultant. He enjoys reporting on the latest stock market happenings and offering advice to both fledgling investors and experienced day traders.
Visit his site to learn more about How to Read Stock Charts and How to Buy Stocks.

Article Source:http://www.articlesbase.com/investing-articles/how-to-read-stock-charts-a-stock-trading-guide-for-beginners-1634260.html

Brokers and trading accounts

Stock brokers and share brokers, both connote the same meaning. They play an important role in helping you open a trading account, particularly a demat account. Different services mark the uniqueness of different brokers, but the key objective is to facilitate investors in trading in the stock market. Finding informed share brokers will help you meet your trading needs, which prove profitable. Stock brokers charge certain rates, more often based on the number of units of shares you buy. The more the number of units, the less is the charges; however brokerage charges are negotiable for big buys. When you contact share brokers, do also look for veiled fees that may be mentioned within the terms and conditions. Many investors fall prey to such hidden charges, ending up paying even for transferring money. These are more noticed in paper based work rather than online trading.

Investors no longer need to get in touch with stock brokers every now and then during trading hours to gain information on shares. With online trading taking into its grip a huge section of the people from different vocational backgrounds and even homemakers, the stock market has witnessed an altogether new phenomenon. Finding experienced share brokers is possible online. Many brokerage platforms offer facilities to open free demat account or free trading account. If you are a beginner, interested to invest in the stock market in India, visit an online trading platform and open a free broking account. Without a trading account you cannot trade in shares. At Nirmal Bang and similar other brokerage platforms, you can open a free demat account and at the same time avail a number of benefits. In addition to this facility, you can take a tour on the performance of the stock market at this one-stop brokerage destination.

Generally, to open a trading account, you need to pay a certain amount as fees. For a free trading account, you are exempted from paying the fees. All you need to do is to open a cash management account for trading purposes. You will have to deposit funds in this broking account, enough to facilitate your buying and selling. Share brokers handle the complete responsibility of your funds; they withdraw the exact amount needed for a purchase of a stock and once the share is sold, the profits get automatically credited into your account. You are required to deposit sufficient funds for trading purpose. A trading account is similar to a bank account where shares take place of actual money.

To open a free demat account, you should have a Pan card, which has been made mandatory by the government since April 2006. As all processes and transactions are electronically recorded in case of a demat account, you need not sign papers as physical evidence. The DP (depository participant) takes care of everything; the DP can be a stock broker or an agent or a brokerage platform registered under SEBI. And you can view the statement of your account transactions from time to time as per your convenience.

Nirmal Kumar Soni is freelance market analyst and is writing reviews articles on free broking account, stocks and shares, equity shares, free demat account, online share trading and information about Online Stock Market, Currency Futures.

Article Source:http://www.articlesbase.com/investing-articles/brokers-and-trading-accounts-1635154.html

Demat account for share trading

Investors and share brokers are the two sides of the same coin; the coin in this case is the stock market. No stock market can exist without stock brokers and investors. And again without a demat account, trading cannot take place. But it solely depends on the investor to give the green signal to buy a particular share and sell it. The loss and profit involved entirely rests on the judgment of the investor. Share brokers inform investors about market movements, share prices, etc. at the same time suggest the latter to buy shares. There are marked differences between stock brokers functioning online and those attending over the phone or in person. Online stock brokers can easily be contacted if you visit online brokerage platforms like Nirmal Bang. Such platforms in addition to offering facilities to open free trading account, also offer services of stock brokers, provide tips on share market investing and a lot of related information. The vast stock market scenario including performance of BSE, NSE, share prices, stock quotes, active stocks, share market news, etc. can be viewed here at this single window destination tendering services beyond brokerage solutions.

There are three criteria of services of stock brokers, as enlisted below. Investors can choose any of the criteria while contacting share brokers.
•    Stock brokers execute their services as per the instructions of the investors. It is investors who decide whether to buy a share or when to sell it; stock brokers only carry out the instructions
•    Share brokers provide advisory services in addition to handling the trading account. In this case, investors take the advice of share brokers and accordingly buy and sell shares; but the final decisions rest on the investors themselves
•    Stock brokers enjoy flexibility in dealing; in this case, the investors’ investment objectives are taken into account and then the stock brokers execute the trading process, themselves taking investment decisions on the investors’ behalf.

A free demat account and  is same – different terms with the same meaning. To be an investor in the share market, you should hold a trading account. If you are directly in touch with the broker in person and not online, paper work is required to sign the agreement. Submission of a few documents like PAN card, a cancelled cheque, identification proof, address proof and photograph completes the process. Your trading account will then be linked to your bank account so that you can transfer the required funds from the latter to the former to facilitate trading. In case of opening an online demat account, though you may or may not be asked to submit all documents, PAN card is mandatory. You are not allowed to handle the responsibility of taking care of your own demat account. The depository participant (DP) takes care of your account, trading and transactions. Share brokers or stock brokers, R&T agents, and brokerage firms, registered under the SEBI act as DPs facilitating your trading in the stock market.

Nirmal Kumar Soni is freelance market analyst and is writing reviews articles on online share trading, stocks and shares, equity shares, online share trading and information on free trading account
.

Article Source:http://www.articlesbase.com/investing-articles/demat-account-for-share-trading-1635195.html

Tips You Must Know In Choosing Automated Forex Trading

There’s tough competition for forex trading these days and that is something that cannot be denied. People are choosing to try forex even if they are just doing it on a part time basis. The reason for this is that forex can prove to be a very profitable business if you take the time to learn it and get yourself familiar with the trade. However, forex trading can be very demanding especially once all the markets have already opened. It may be tough to keep track of everything in a manual manner especially since you also have to analyze if you are making the right decisions when it comes to buying and selling different values. This is where automated forex trading comes in.

Automated forex trading helps lighten up the burden of scanning the different markets for the best values in trade. It works in a systematic manner so that you no longer have to manually evaluate all of the parameters you look at before making a trade. All you have to do is input the parameters in an automated forex trading system and it will look at these inputs as it scans the crowd for you. You can also make it function in such a way that it keeps track of the businesses you deem profitable. The benefits of owning an automated forex trading system can go as far as making quick trades with new business partners. But before you go ahead and get yourself an automated forex trading system, here are some important tips you may want to consider:

Read up on popular automated forex trading systems – The internet is such a rich portal of information. Take advantage of this by getting as much research as you can about the different automated forex trading systems there are available. This can help you get a better information about the systems in a formal and informal manner. Feel free to visit sites or use search engines to research about automated forex trading systems. You should also take some time to visit some forums and websites discussing some first-hand experience on these automated forex trading systems.

Consider the developers of the trading system – Aside from getting yourself familiar with the trading system itself, it is also a good idea to learn more about the developer of the said system. Try to know who the people behind the system are and what makes them credible creators of such a forex system. Some of these people even have their own website or blogsites and it will be a good idea to visit these portals too so you can get to know them even more.

Take advantage of trial versions – While paid automated forex trading systems are generally much better than the free ones, you might find it a bit daunting to plunge into purchasing one right then and there. So if there are those that offer their trial versions, it would be a good idea to take advantage of it in the meantime. Just make sure you are aware of the end date of the trial so that it won’t affect your business flow.

Cedric Welsch is an Expert Article Marketer and SEO Article Writer.

Running out of ideas in your forex strategy? Forex news site updates is your best solution.

Grab all the info you can get from forex trading reviews portals like reviewpips.

Article Source:http://www.articlesbase.com/investing-articles/tips-you-must-know-in-choosing-automated-forex-trading-1627895.html

The nuances of Online Share Trading

We all aspire to see the spiraling growth of our money! And investing is the best practice that you can adopt to accomplish the feat. Again, while investing money, it is very important to abide by the old saying that “money needs to work for you, instead of you working for it.” There are quite a few ways to convert your money into high profits via long term investments and investing into the stock market can be much more lucrative than any other short term method!

The stock market does not elude the wits of a common investor anymore! With online share trading anyone can get into the stock market. All you need to have is some basic knowledge of the share market and its trends. The learning curve can be quite steep for novice traders, but those who stick with it will get rewarded handsomely – not just with nice returns but also with a great lifestyle.

It is simple to get the registration done for online share trading through a company engaged in this line or more typically a share broker. Before you start online trading, you should first acquire some experience about the nuances of the same offline! This is the right way to enjoy lucrative gains on your short and long term investments in online share trading.

One of the most imperative long-term basis of finance are issue of equity shares and preference shares, issue of debentures of different types, raising of term loans from financial institutions and generation of reserves. There are many online venture capital firms which may use different combinations of these sources by considering their relative cost and availability and their impact on the value of the firm. Accordingly, a company can have patterns of capital structure such as equity shares only, equity shares and preference shares, equity shares and debentures, equity shares and preference shares reserves, equity shares and preference shares debentures, equity shares and preference shares/debentures reserves.

While online trading, what you must keep in mind is that these ventures are a high risk proposition and one should be very much guarded and remain observant to distinguish market fluctuations. You can achieve tremendously high returns on your investment easily if you are really fortunate.

The actions relating to the purchasing and selling of shares are done online through the internet on a daily basis. You should be able to get enough experience by studying movements of the market and very soon you will be making decisions on your own in online share trading.

Although the media has termed online share trading as “easy money”, any investor in the markets will tell you the opposite. You should cover all the risks and make informed decisions at all times. Yes, the returns can be great but the risk-reward principle is also there in any investment.

Nirmal Kumar Soni is freelance market analyst and is writing reviews articles on stocks and shares, shares trading, equity shares, online share trading and information on online free trading account.

Article Source:http://www.articlesbase.com/investing-articles/the-nuances-of-online-share-trading-1601333.html

Crude Oil Trading

Trading crude oil can be very difficult and there are many factors that affect its price.

Oil is currently drifting higher day by day. Although there has been a recent pull back in line with equity markets from the highs, we are still far higher now than we were 12 months ago.

For all of the talk about variation from dependence on oil, the fact remains that a huge percentage of our energy usage still relies on crude oil. While there are other alternatives to petrol and diesel we are stuck with the historical infrastructure built around these, as anyone who has searched for an LPG or bio-fuel garage will testify.

The daily markets are providing some interesting opportunities for those who are able to buy and sell crude oil. For the Nymex US Oil futures contract, a recent attempted rally ran into quicksand far faster than the bulls might have expected.

The moves higher are still very aggressive but we are now running into general-drifting-lower periods when not much is going on. This is in stark contrast to earlier trading sessions which saw continued upside pressure throughout.

Whisper it quietly but there is a certain amount of trepidation. If we cannot get back onto the front foot soon, the current over-supply of oil, which the markets have ignored for some time, might outweigh the recent concerns about ‘future demand outpacing production’.

Towards the end of 2009 oil had something of a gravitational pull to the $80 per barrel level. Having said that there was, and still is, a degree of volatility around the weekly Oil inventories (due out on Wednesdays 15.30 at local London time and 09.30 local New York time).

Many traders seem to be flattening positions out before the weekly inventories and they are only taking a view in the aftermath.

If I am trading the oil markets, be it US Oil (WTI) and/or UK Oil (Brent) then I prefer to trade my short term positions through a spread betting account.

There are a number of Financial Services Authority regulated companies that offer thousands of international markets including crude oil, currencies, stocks and shares. Spread betting firms, like FinancialSpreads.com and IG Index offer the normal benefits of spread betting including; tax free trading*, trading outside market hours, no brokers fees and no commissions.

Be aware though, spread bets do carry a high level of risk to your capital and you can lose more than your initial stake. You should only speculate with funds you can afford to lose. Before trading, ensure that spread betting matches your investment objectives and familiarise yourself with the risks involved. If necessary, seek independent advice.

* According to current UK and Irish tax law, this may change or differ depending on your personal circumstances.

Based in the heart of London’s financial district, Daniel Jones is a seasoned spread betting professional and commentator on some of the leading UK spread betting sites

Article Source:http://www.articlesbase.com/investing-articles/crude-oil-trading-1597864.html

Trading the World Gold Market

Gold has experienced a spectacular rise recently. I say recently, the metal has been trending upwards for months.

With limited supply, the pressure should always be easier to apply to the upside. However, if this were the only argument then precious metals prices should never really fall.

Perhaps the market is not particularly overbought at the moment so there is still good room for manoeuvre to the upside; unfortunately, the same can of course be said for the downside.

We are in uncharted territory. With inflation remaining weak, interest rates likely to stay low, the US Dollar showing no real signs of recovery, banks still looking a bit weak and fears over the strength of the rebound in world growth, all the factors pushing Gold to the upside continue to linger on.

Looking at gold on a given day though, the price can easily rally on any weakness in the US Dollar. Of course when a market jumps like that then some investors will inevitably close their positions and take their profits. That can then cause the markets to fall, albeit temporarily.

This having been said, selling Gold has proved to be an expensive mistake for quite some months. Aside from minor corrections, the price has slowly ground higher through the whole period.

Not only this but since breaking above the critical $985 level back in September 2009 and then repeatedly failing to get back below it, the omens have started to favour yet another spike higher.

In an era of concern over the value of assets, gold holds its age old allure.

There is still much uncertainty in the markets. The big recipient of all this uncertainty remains the precious metal and it is tempting to speculate that no matter which currency gains the upper hand, the continued undervaluation of the emerging BRIC country currencies will perhaps drive the price of gold to undreamt of levels.

So what are the options for the investor? I prefer to spread bet on gold. However, before I continue, it should be noted that, as with all forms of speculation, there is a negative side. You can lose more than your initial stake with this from of trading.

One of the main reasons for trading gold through spread betting is that you can go long or short with a spread bet. This means you can speculate on gold to either rise or fall, particularly useful in volatile markets.

You also get instant access to thousands of financial markets. Yes you can trade gold spreads but you can also trade the future value of foreign exchange markets like Dollar / Yen and Euro / Sterling as well as stocks and shares or the future price of other commodities like crude oil.

With spread bets, no assets or ownership rights are exchanged, you are simply speculating on the future price of a market, the benefit here is that spread betting is tax free*.

Before you trade though, note that spread betting carries a high level of risk so you should only speculate with money you can afford to lose. Like the adverts say, before trading, please ensure that spread betting matches your investment needs, make sure you familiarise yourself with the risks involved and, where necessary, seek independent advice.

* Based on current UK tax law, if you pay tax in another jurisdiction then tax law may vary.

Robert Thomas is a seasoned financial spread commentator who offers strategic and tactical opinion on trading commodities such as gold and crude oil.

Article Source:http://www.articlesbase.com/investing-articles/trading-the-world-gold-market-1584600.html

Trading the US and UK Crude Oil Markets

The increasing strength in world economic data does not seem to be translating, just yet, into more demand for crude. While ‘peak oil’ is a phrase on everyone’s lips it must be said that production from many parts of the globe is currently artificially constrained.

Producers seem willing to turn on the taps above $75, as a sort of profitable-commitment to world growth. While everyone blamed the financial institutions for the collapse in the global economy the impact of $147 per barrel of oil was not exactly a helpful factor.

Looking at the day-to-day trend more closely, oil looks to have found a ceiling as it struggles to get beyond the $80 level.

Whenever there is any strength in the US Dollar that has naturally led to weakness in oil prices as investors close positions, very much a flight from risk.

Strength in the equity markets and weakness in the Dollar normally translates into rising Oil prices. Although we are still seeing some good market rallies, it seems that dealers are less confident than in times past.

The failure to break permanently above $80 may be worrying the Crude Oil bulls a bit as all the normal impetus required seemed to be in place. If the Dollar starts to strengthen, unlikely as it might seem, we may find that dealers are pressuring the support levels again rather than the resistances.

Since the highs at $82 in the US WTI Oil contracts in October 2009 we have had a series of attempted rallies, all of them failing at lower and lower levels. Looking at the oil charts, we now have a very nice falling-trend-line-top to aim for.

Should we close above the trend line there may well be a reaction move to new highs. But, and there is always a ‘but’, the longer we remain below the trend easier it will be for the bears to drive prices lower.

So what should an investor look to do? I prefer to trade the oil markets through spread betting. Note though, there are downsides to all forms of investing and with spread trading you need to be careful because you can lose more than your initial investment.

On the plus side though, there is no capital gains tax, no stamp duty and no income tax on spread betting*.

Also, an interesting benefit is the number of markets that you can trade. Spread betting firms often offer thousands of markets from European and US shares to gold and Dollar/Sterling currency rates. Naturally you can trade both US and UK crude oil spreads.

With the volatile markets like oil, being able to short a market provides interesting opportunities. You do not have to speculate on markets to go up. If your research leads to you think the price of crude oil will go up, you can, of course, bet on it to go up. However, if you think that oil will go down you can bet on it to go down.

It is important to note though that spread bets carry a high level of risk to your capital so you should only speculate with money you can afford to lose. Like the adverts say, before trading, please ensure that spread betting matches your investment objectives. Make sure you familiarise yourself with the risks involved. If necessary seek independent advice.

* Based on current UK tax law, if you pay tax in another jurisdiction then tax law may vary.

Robert Thomas is a financial journalist and a commodities spread betting writer offering strategic views on a range of financial markets.

Article Source:http://www.articlesbase.com/investing-articles/trading-the-us-and-uk-crude-oil-markets-1584632.html

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