ollie989898
Member
Keyboard traders have no need to take delivery of anything, you just close out your positions before the final day of trading on that contract.
West Texas Intermediate
- Thread starter capfits
- Start date
Keyboard traders have no need to take delivery of anything, you just close out your positions before the final day of trading on that contract.
I cost $50.00 a barrel just to get it out of the North Sea 15 years ago.
oil barron
Member
- Location
- Aberdeenshire
Close it out with who?
oil barron
Member
- Location
- Aberdeenshire
Mods. Can we get these threads mearged. FFS I’m trying to manage a business in free fall here. No one got time for this.
oil barron
Member
- Location
- Aberdeenshire
No it didn’t.
ollie989898
Member
Back into the marketplace. Speculators can make money equally whether the market is rising or falling, all they need is a difference.
I can sell oil on paper for a contract month right now. I will never produce a barrel as I'm not in the oil business, nor can I take delivery of it. But I can sell it.
I can sell X and buy it back at a later date (hopefully at a lower price) and I'm closed out, the profit difference is mine. The fact it reached -$40 a barrel will have made someone a lot of money.
caveman
Member
- Location
- East Sussex.
What's that theory of relativity thing about?
oil barron
Member
- Location
- Aberdeenshire
yeah. People with tanks.
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ollie989898
Member
No, speculators. Is this really that hard to understand?
Its what I was told by a manager off the rigs , so how much then ?
ollie989898
Member
For anyone interested in how these markets work, I suggest some light reading.
corporatefinanceinstitute.com
There are free training simulators that explain how to play with futures contracts, too.
Contract for Difference (CFD)
Contract for Difference (CFD) refers to a contract that enables two parties to enter into an agreement to trade on financial instruments based on the price difference between the entry prices and closing prices.
corporatefinanceinstitute.com
There are free training simulators that explain how to play with futures contracts, too.
Chae1
Member
- Location
- Aberdeenshire
Contracts for Differences are quick way to make or lose a lot of money.For anyone interested in how these markets work, I suggest some light reading.
Contract for Difference (CFD)
Contract for Difference (CFD) refers to a contract that enables two parties to enter into an agreement to trade on financial instruments based on the price difference between the entry prices and closing prices.
There are free training simulators that explain how to play with futures contracts, too.
Generally the latter for me. If my wife knew how much I'd lost she'd string me up.
I just trade wheat futures now.
My advice would be, be careful and don't get out your depth.
Speaking from bitter experience.
ollie989898
Member
I agree, don't trade unless you can afford to lose. I think the real pros use a lot of software and are able to cut their losses if it goes south on them.
oil barron
Member
- Location
- Aberdeenshire
If you have a May futures contract you take delivery tommorow. If you can’t find someone with a tank by midnight tonight your getting a convoy of 18 wheelers at your door tommorow.
ollie989898
Member
Since the high cost operating environment of 2014, OPEX has fallen significantly. This, coupled with the marked increase in production has led to a drop in unit operating costs of over £7.5/boe (real terms, 2017 prices). Figure 1 (overleaf) highlights the recent rise of production on the UKCS, alongside the combined fall in OPEX and UOC. Looking to the future, production is expected to rise in 2018. If this is the case, it will be the fifth consecutive year without a significant drop in oil and gas production. Operating costs are also anticipated to rise but at a slighter greater rate. This is partly due to new costs created by the recent start up fields which are causing the growth in production. As a result nominal UOC is projected to rise by 80 pence a barrel, from £11.6/boe in 2017 to £12.4/boe in 2018.
Chae1
Member
- Location
- Aberdeenshire
If your clever you can set stops and automatically buy and sell at certain levels. If you do this it's more manageable and easier to sleep at night. That's what I do now, set a order to buy at a suitably low price, that I think, hope is bottom of market.
When I was doing it the price was dropping and I kept piling in more money to stop going bust. I'd have been better if I had just folded and accepted first loss. It did recover slightly, but scary times.
ollie989898
Member
Where did you find that figure? That is rather high compared to the government report I linked from 2018.
ollie989898
Member
When is the final closing date of the contract?
I read on twitter the problem is that tanks in the USA are landlocked and full of oil right now so they have created a peculiar market condition. North Sea not so problematic as you can fill a tanker.
Click on the link and check the reference .