Trading Oil through ForexVox allows you to trade the price movements of the global oil market which fuels the world.
When trading Oil CFDs you're not physically buying or selling oil, however you can still benefit from the price movements of the underlying market.
If the price of oil rises due to increased demand around the world, then the price of an Oil CFD will also increase. The same will happen if demand for oil falls and as a result the global price of oil falls. This will also be represented in the price of an Oil CFD.
|Symbol||Digits||Contract Size||P&L Currency||Spread*|
|UK Oil Future||3||1000||USD||3.6|
|US Oil Future||3||1000||USD||3.0|
|UK Oil Spot||3||1000||USD||2.6|
|USD Oil Spot||3||1000||USD||3.0|
*Spreads shown are for retail accounts.
If you were to buy oil at a price of $55 and then there was a shortage of oil around the world which in turn increased the price to $58 dollars, you would have made $3.
If you had bought 1 CFD lot, and made $3 on the price movement, this would result in a profit of $3000. However, in turn, if oil was to fall from $55 down to $54 because there was an increase in supply around the world, you would have lost $1 on the trade which in turn would be a loss of $1000.