Oil futures CFD tracker

Hi guys,

I am very interested in trading oil and other commodities next year on higher timeframe chart.

Currently my CFD broker (IGmarkets) provides Oil future CFDs but the prices are a little off from the real futures price (for example, CL0130 closed at 80.02 but IGmarkets has their March "US Light Crude" contract at 80.26 and BZ0310 at 78.65 but IG has 78.64).

Has anyone had any experience trading using these instruments? I have an account with MB trading too so have access to the "real thing" but was wondering about them. I assume they track the underlying price so any % change in the real instrument is reflected in the synthetic.

Browsing through the IG instrument list their trackers seem pretty comprehensive (more comprehensive than my charting packages list of futs and stuff), so I am wondering why they don't just track the thing in real time etc?

Did you resolve this? I'm thinking of trading CFDs with IG and on crude oil also

Does the lock limit move potential of commodities scare the crap out of you at all? Think I need to do some more reading on guaranteed stops, but it seems that your min stop distance gets huge when you use the guaranteed stops, like 30 points.

Seems to me that if you use guaranteed stops you'll lose a medium amount of money with every losing trade and save yourself from lock limit moves and huge losses, but if you dont use them, you'll lose less each losing trade, but get smashed on lock limit moves... Tough call...

jayhfd said:

Did you resolve this? I'm thinking of trading CFDs with IG and on crude oil also

Does the lock limit move potential of commodities scare the crap out of you at all? Think I need to do some more reading on guaranteed stops, but it seems that your min stop distance gets huge when you use the guaranteed stops, like 30 points.

Seems to me that if you use guaranteed stops you'll lose a medium amount of money with every losing trade and save yourself from lock limit moves and huge losses, but if you dont use them, you'll lose less each losing trade, but get smashed on lock limit moves... Tough call...

Click to expand...

Yes I have placed a few "US Light Crude" trades with IG now trading off the daily chart. It does indeed track the futures price change as a % but not as a specific value.

In some markets it seems ok to use the CFD instead of "the real thing", but in the case of oil I would say there is no advantage of using the CFD aside from guaranteed stoploss which I don't use anyway.

These days I am using IG just for trading some European stuff because MBTrading doesn't have it (like BEL20, Euribor, Gilts, etc)