Oil is one of the most actively traded commodities in the world. Its strong trends and sharp reactions to news make it a favourite for active traders. At SCapitalFX you can trade oil as a CFD — going long or short with leverage, no barrels required. Here is how oil trading works, with your real conditions.
What is oil trading?
Oil trading means speculating on the price of crude oil. The two global benchmarks are:
- USOIL (WTI): West Texas Intermediate, the US benchmark.
- UKOIL (Brent): the international benchmark priced in the North Sea.
As CFDs, you trade the price movement — profiting whether oil rises (go long) or falls (go short) — without owning physical barrels.
Oil and gas specs at SCapitalFX
| Symbol | Market | 1 lot | Spread from (Raw) | Max leverage |
|---|---|---|---|---|
| USOIL | WTI crude | 1,000 barrels | $0.03 | 1:50 |
| UKOIL | Brent crude | 1,000 barrels | $0.03 | 1:50 |
| XNGUSD | Natural gas | 10,000 units | $0.005 | 1:50 |
A $6 round-turn commission applies on a Raw account (zero on Standard).
How profit and loss work
One standard lot of USOIL is 1,000 barrels, so every $1 move in the oil price equals $1,000 of profit or loss per lot. Oil can swing $1–$3 in a single day, so most beginners trade 0.01 lots (10 barrels), where a $1 move is just $10 — keeping risk small.
What moves the price of oil?
- Supply and demand — global growth lifts demand; recessions cut it.
- OPEC+ decisions — production cuts or increases move prices fast.
- US inventory data — the weekly EIA crude stocks report (usually Wednesday) often causes sharp moves.
- Geopolitics — conflict in oil regions can spike prices.
- The US dollar — oil is priced in dollars, so a stronger dollar can weigh on it.
How to start trading oil step by step
- Open an account. Sign up at SCapitalFX and verify.
- Fund it with USDT, BTC and 50+ coins.
- Open the USOIL chart and study the trend on a higher timeframe.
- Decide long or short, then set your stop-loss and take-profit.
- Start with 0.01 lots and manage the trade to your plan.
Best times to trade oil
Oil is most active during the US session, and especially around the weekly EIA inventory release and OPEC announcements. See our best time to trade guide.
Risk warning: Oil is highly volatile and trading oil CFDs on margin carries a high level of risk. You could lose some or all of your invested capital. Always use a stop-loss.
Frequently asked questions
What is the difference between WTI and Brent?
WTI (USOIL) is the US benchmark; Brent (UKOIL) is the international one. They usually move together but can trade at slightly different prices.
Can I short oil?
Yes. As a CFD you can go short to profit when oil falls, just as you go long when it rises.
How much money do I need to trade oil?
You can start small with 0.01-lot positions. Because each $1 move is $1,000 on a full lot, keep your size modest and always use a stop-loss.
When does oil move the most?
Around the US session, the weekly EIA inventory report, and OPEC+ decisions.
Start trading oil
Open your account or a free demo and trade WTI and Brent crude. Explore all markets and conditions here.