Friday, January 9th, 2015 by Tim Lanoue
When it comes to trading online with binary options I am often asked about trading strategies that concern currency pairs or high volume stocks. Seldom am I asked if I have any trading strategies regarding commodities and indices so of course I am short hand on those strategies so when I was asked if I had one for Crude Oil I hopelessly found myself without a Crude Oil strategy suitable for binary options. Which is why today we are going to be covering binary options tips on how to fundamentally trade Crude Oil.
For those of you who never thought about trading commodities and indices with binary options let me inform you now that you are missing out on great trading opportunities and potentially missing profits that you could have had otherwise. In order to better understand what drives the prices of oil and how we can effectively trade Crude Oil without having to open a charting solution follow the two tips below.
Follow Public Press Releases and Announcements
Paying special and close attention to public press releases will be your cornerstone for fundamentally trading Crude Oil. Following this simple tip can really pay off when it comes to trading binary options, I have won some huge investments just by following press releases. An example of a press release that we could trade would be as follows: Apple is coming out with the iPhone 7 in 36 hours and they are releasing a Press Release and holding a public announcement. Now more than likely than not the price of Apple will sky rocket and move in a bold bearish (upward) direction. So what we would do is place a few big investments with end-of-day expiry times and at the end of the day we will more than likely win our investment and profit huge. When I know a popular company, stock or commodity are holding a big press release that I know will impact in a certain direction I will place no less than 10% of my account balance per trade. This is an extremely aggressive approach and should be used with caution however more often than not it pays off greatly in the end.
Know and Predict the Economic Value of Crude Oil
Statistically analyzing the value and price of Crude Oil is the last important tip that I have to offer. Following a financial portal such as Google Finance will be the backbone to this tip and will pay off largely in the end. In the picture below you see yellow boxes on our Google Finance web-page, within these yellow boxes are press releases, announcements and correlating commodities that help indicate to us the current condition of Crude Oil. In addition, if you scroll further down and look at the Sector Summaries then your ability to analyze the past performance of Crude Oil will be all available to you. This is extremely effective when predicting future trends and should be used on a daily basis.
Trading Crude Oil can be difficult at times but if you follow the tips above you should have no problem profiting largely with your investments. Make sure to keep an eye out for press releases while recording the opening and closing values of Crude Oil from previous days, this can help traders dictate the future medium-term trend of Crude Oil. If you guys have any questions, comments or suggestions please feel free to leave them below!