Crude oil trading can be a lucrative way to earn money. It is however very risky as it can be affected by unforeseen circumstances like natural disasters, political tensions, or oil spills. Therefore in order to be successful in crude oil trading, you do not only need a lot of guts to make risky transactions, you also need intuitive insights that will allow you to see through the vast sea of market information in order to make the right call at the right time.

Crude oil trading takes place through oil brokers who provides the investor with the trading software that is used to make transactions. In addition, they also provide you with an analysis of the market so that you can make an informed choice. This is very useful especially if you are just new to the business since it will allow you to learn your away around through the field. It is because eventually, you will have to make an analysis of the market on your own it is not a good idea to just rely on what other people will say to you.

The most important thing in crude oil trading is forecasting the highs and lows in the market. The idea in order to earn profit from crude oil trading is to assume a long position if the trend in the market is going up, and to assume the short position once you are certain that the price of crude oil barrels are on a steady decline. In order to precisely predict these trends, you have to be aware of what is the latest happenings in the crude oil market. You can do this by being updated with the news.

Another important source of market information in crude oil trading are two macro economic oil data releases: crude oil inventories and natural gas storage. They are released once a week on a fixed schedule by the Energy Information Administration. These two releases can have a strong impact on the markets as it may cause fluctuations and false movements. It is therefore recommended that you hold off on crude oil trading for at least 15 minutes before resuming in order to let the market stabilize itself for a while and so that you can get a more accurate reading of it.