Energy carriers

FOREX ENERGY TRADING

One of the advantages of modern Forex is to work with energy resources (oil, gas). In recent years, attention to them has grown, primarily thanks to oil, which has made a steep peak in price from $ 100 to $ 50. And all these were excellent opportunities for earning money. By the way, this is what most traders see as a feature of trading on energy carriers. I'm talking about high volatility. For Forex trading, this is doubly important, since a wide range of prices and strong trend movements provide additional earning opportunities. Another important characteristic of this type of asset is its close relationship with the global economy. The tendency is as follows - when the world economy as a whole is thriving - the energy market grows, but when there are problems - oil and gas begin to decline in price.

World events, climatic conditions and other factors have a great influence on energy carriers. In a word, everything that to some extent can affect the production and transportation of oil and gas will affect the final cost of the product, which means that the market value of the asset will change. A striking example of recent years is the statement by a number of countries in the Middle East to increase the volume of oil production. Of course, after that, the cost fell, because the demand remained the same, but the supply increased significantly.