how do i trade oil futures?

Answer 1

If you want to speculate on oil price, you are better off choosing stocks whose performance is highly correlated with oil prices.

Answer 2

You have to open an account with a commodities broker. Even if you already have a stock account, you will have to open a separate account to trade futures.

Just because you "can" trade high leverage, doesn't mean you should. One oil contract covering 1000 bbl of oil is worth about $60,000 today. If you put that amount in an account, and trade one contract, that would be zero leverage, and is no more risky than trading stocks.

If trading stocks in a margin account at 2:1 leverage is considered risky, then certainly trading oil at 40:1 leverage is ludicrous. But that's no reason to call the oil market or the futures market unreasonable names associated with risk; you decide the leverage and risk.

Otherwise, you trade futures like you would trade a stock.

But the active verb here is "trading," which is different from investing and "Buy and Hope." It is very difficult, very precise, and timing is everything. It takes a lot of your resources, time, and effort, and is extremely stressful and psychologically daunting.

Once you learn the art of trading, you can trade anything.

Answer 3

You take about a million dollars to a broker who deals in such things. You invest 1/3 of it, and pray you don't lose the entire thing.

Seriously, if you are asking this question, I have to wonder if you've got the expertise to survive in any futures market. In addition, futures markets are played by seriously wealthy investors, who can afford to invest into LEVERAGED investments that can, at any time, cause them to lose a lot more money than they'd put into the contract.

Answer 4

contact a broker

if u want to do it urself i have no idea