Mistakes Traders Make With Oil CFDs
Six oil CFD mistakes found through a pre-mortem: wrong benchmark, rolls and expiry, event risk, oversizing, curve costs and geopolitical gaps, with warnings.
CFD education by market group.
Six oil CFD mistakes found through a pre-mortem: wrong benchmark, rolls and expiry, event risk, oversizing, curve costs and geopolitical gaps, with warnings.
On August 15, 1971, Nixon suspended converting dollars into gold at $35 an ounce, ending Bretton Woods and opening the era of floating currencies. What changed.
On April 20, 2020, expiring May WTI fell from $17.73 to −$37.63 as Cushing storage ran out and holders paid others to take delivery. What happened and why.
On March 8, 2022, LME nickel more than doubled above $100,000 a tonne as Tsingshan covered a short. The LME halted trading and canceled $3.9 billion of trades.
The LBMA Gold Price is set twice daily at 10:30 and 15:00 London time in an electronic auction. How it works and how it differs from live spot prices.
In 1979–1980 the Hunt brothers built a huge silver position as prices rose from about $6 to $50. Rule changes and margin calls ended it on Silver Thursday.
List contract prices by expiry, plot them, check the slope and the near-month spread, then compare with past shapes: how to read a futures curve, step by step.
Gold is driven mostly by investment and central bank demand; silver also by industry, so it is more volatile and more tied to the economy. A comparison.
Gold miners tend to move more than gold because profits are leveraged to its price, but they add costs, debt and operating risks. A side-by-side comparison.
Gold-silver ratio = gold price ÷ silver price: about 68.8 in June 2026 after swinging above 100 and below 60. How to calculate it, use it and its limits.
Six gold myths tested against history: 1980–2001, 2008, 2011–15, March 2020, 2022 and 2026 show gold can fall hard, lag inflation and drop with stocks.
With one lot often 100 troy ounces, gold at $4,000 is a $400,000 position; at 20:1, margin is $20,000 and a $10 move is $1,000. Worked examples by size.