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Category: Crude Oil

A naturally found substance, crude oil is also one of the most traded commodities. It is crude oil that is further refined so as to make petroleum products. Just like with every other commodity, crude oil too has its specific ticker symbol, contract value and margin.

The margin is variable as it keeps changing as per the volatility in the market as well as according to the current value of the contract. If you are interested in crude oil trading or are already trading in this commodity, it is important for you to know that over the past 50 years the price of this commodity has been denominated in U.S. Dollars.

At Cannon Trading we help you trade crude oil at some of the best day trading margin rates. Our brokers will do their best to keep you aware of the market happenings to help you exercise call and put options carefully. In order to get more information on crude oil and commodities, read this category archive blog. Please feel free to share this information.

Futures Trading Levels and Economic Reports for September 25, 2013

Posted on by Ilan

Connect with Us! Use Our Futures Trading Levels and Economic Reports RSS Feed.

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1. Market Commentary
2. Futures Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000, Dollar Index
3. Commodities Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Commodities Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Futures Economic Reports for Wednesday September 25, 2013

Hello Traders,

For 2013 I would like to wish all of you discipline and patience in your trading! 

Today’s two sided volatility in crude oil futures fitted my trading model/philosophy well.

Below is a screen shot from today along with the different signals.

If you like a free trial to this ALGO along with the PDF document I created, which explains the set ups ( AND have not had the trial before…) then follow instructions below the chart.

Crude Oil 18 Ticks Range Bar Charts
Crude Oil 18 Ticks Range Bar Charts

If you like the information we share? We would appreciate your positive reviews on our new yelp!!

GOOD TRADING

Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.

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Futures Trading Levels

Contract Dec. 2013  SP500 (big & Mini) Nasdaq100 (big & Mini) Dow Jones (big & Mini) Mini Russell Dollar Index
Resistance 3 1713.17 3257.25 15457 1096.87 81.02
Resistance 2 1707.08 3244.00 15413 1088.33 80.88
Resistance 1 1699.67 3229.25 15348 1080.37 80.79
Pivot 1693.58 3216.00 15304 1071.83 80.66
Support 1 1686.17 3201.25 15239 1063.87 80.57
Support 2 1680.08 3188.00 15195 1055.33 80.43
Support 3 1672.67 3173.25 15130 1047.37 80.34
Contract Dec. Gold Dec. Silver Nov. Crude Oil Dec. Bonds  Dec. Euro
Resistance 3 1356.7 2275.2 105.22 134 18/32 1.3562
Resistance 2 1343.1 2239.3 104.43 133 27/32 1.3542
Resistance 1 1332.8 2204.2 103.88 133 14/32 1.3507
Pivot 1319.2 2168.3 103.09 132 23/32 1.3487
Support 1 1308.9 2133.2 102.54 132 10/32 1.3452
Support 2 1295.3 2097.3 101.75 131 19/32 1.3432
Support 3 1285.0 2062.2 101.20 131  6/32 1.3397
Contract Dec Corn Dec. Wheat Nov.Beans Dec. SoyMeal Dec. bean Oil
Resistance 3 457.7 662.8 1325.67 424.07 42.38
Resistance 2 455.6 660.9 1322.83 420.03 42.32
Resistance 1 452.2 659.6 1317.67 416.17 42.20
Pivot 450.1 657.7 1314.83 412.13 42.14
Support 1 446.7 656.3 1309.7 408.3 42.0
Support 2 444.6 654.4 1306.83 404.23 41.96
Support 3 441.2 653.1 1301.67 400.37 41.84
For complete contract specifications for the futures markets listed above click here!

5. Economic Reports

source:http://www.forexfactory.com/calendar.php

All times are Eastern time Zone (EST)

 

Date 3:52pm Currency Impact Detail Actual Forecast Previous Graph
WedSep 25  2:00am EUR GfK German Consumer Climate 7.1 6.9
8:30am USD Core Durable Goods Orders m/m 1.1% -0.8%
USD Durable Goods Orders m/m 0.0% -7.4%
10:00am USD New Home Sales 422K 394K
10:30am USD Crude Oil Inventories -1.0M -4.4M

This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts herein contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgment in trading

Futures Trading Levels and Economic Reports for April 25, 2013

Posted on by Ilan

Connect with Us! Use Our Futures Trading Levels and Economic Reports RSS Feed.

Like us on FacebookFollow us on TwitterView our profile on LinkedInFind us on Google+Cannon Trading Futures Trading Resistance & Support Levels and Economic ReportsFind us on Yelp

1. Market Commentary
2. Futures Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000, Dollar Index
3. Commodities Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Commodities Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Futures Economic Reports for Wednesday April 24, 2013

Hello Traders,

For 2013 I would like to wish all of you discipline and patience in your trading! 

 

Day Trading Commodities with Crude Oil Futures

Crude Oil Futures volatility offers a “different market personality” than stock index futures. Here is some of the things you need to know about day trading crude oil futures:

Date: April 23, 2013


By: Ilan Levy-Mayer, Cannon Trading Commodities Broker & VP

 

Crude Oil is one of MY favorite futures market for day trading. Before I dive in and share with you how the volatility in crude oil fits my risk tolerance for day trading and provide a couple of chart examples, we should review some of the specifications of Crude Oil Futures. 

Crude Oil Futures have monthly expiration. So each month we trade a different contract month, so one needs to know when is the first notice day and last trading day for crude oil futures in order to always make sure we are trading the proper month with the most liquidity and avoid any chance of getting into delivery situation.

Next is the contract size. Crude Oil futures are based on 100,000 barrels. To be honest from a day trading perspective all I care is that each tick or 1 cent fluctuation is $10 against me or in my favor per contract. That means that a move from 92.94 to 92.74 = $200.

Another factor is trading hours. At the time I am sharing my thoughts with you, April 8th 2013, crude oil futures trade on the CME Globex platform and trade from 5 PM CDT until the next day at 4 PM CDT. That is 23 of straight trading hours. I definitely don’t recommend day trading this market 23 hours…but it is good to know the trading hours.

Volume in crude oil futures is pretty good to trade in my opinion. Averaging about 300,000 contracts per day.

One last pointer to touch on is the API (American Petroleum Institute) report that normally comes out Wednesday at 9:30 CDT (on short weeks, holidays etc. , this report will be pushed to Thursday at 10 AM CDT). I tell my clients that this report is way too volatile and I like to be out 5 minutes before and not resume trading 5 minutes until after the report comes out. This report by itself deserves a writing but on short, the report provides information on how our stock pile is doing ( = supply/demand)  and the market will move based on the numbers versus what was expected. Again as a day trader, your main job is to know about this report, when it comes out and in my opinion stay out of the market during this time…Read Full Article.

 

 

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Futures Trading Levels and Economic Reports for April 11, 2013

Posted on by Ilan

 

Jump to a section in this post:

1. Market Commentary
2. Futures Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000, Dollar Index
3. Commodities Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Commodities Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Futures Economic Reports for Thursday April 11, 2013

Hello Traders,

For 2013 I would like to wish all of you discipline and patience in your trading! 

 

Daily Price Limit Methodology Now Effective 
Implemented Monday, April 8, 2013

Changes to the daily price limit methodology for CME and CBOT equity index futures went into effect Monday, April 8, 2013, in coordination with rollout of Market Wide Circuit Breaker changes in the underlying cash equity market. These changes were deferred from an earlier planned rollout date on February 4.

As previously announced, Market Wide Circuit Breakers, or trading halts, for cash equity markets are now determined by declines in the S&P 500 Index (vs. the Dow Jones Industrial Average). Trading halt levels are as follows:

 

Levels as of
April 8, 2013

Effective Hours of 
Levels as of April 8, 2013
Level 1

7%

8:30 a.m. CT – 3:00 p.m. CT
Level 2

13%
Level 3

20%
Overnight

5%

3:00 p.m. CT – 4:15 p.m. CT;
5:00 p.m. CT – 8:30 a.m. CT

 

In addition, we have coordinated the following changes to CME and CBOT stock index futures’ daily price limits methodology with the rule changes in the underlying markets:

  • Implementation of daily price limits on stock index futures contracts (switching from the quarterly price limits currently used)
  • Application of daily price limits each day starting at 5:00 p.m. CT.
  • Reference price for daily price limits for the next trade date based on the 3:00 p.m. CT futures price:
    • Width of the equity index futures price limit band is based on the underlying cash equity index closing value.
    • Daily stock index futures price limits are published on the CME Group website prior to the CME Globex open at 5:00 p.m. CT.

For more information, visit cmegroup.com/eqpricelimits

 

Continue reading “Futures Trading Levels and Economic Reports for April 11, 2013”

Trading Levels and Reports for July 17, 2012

Posted on by Ilan

Jump to a section in this post:

1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000, Dollar Index
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Economic Reports for Monday July 17, 2012

Hello Traders,

WORTH SHARING…from my colleague Dave Register of www.ExitPoints.com

The seven deadly sins for futures traders

 

1)      Overtrading or underfunding your account

2)      Chasing performance

3)      Using an over optimized system

4)      Failure to Always use Stop loss orders

5)      Commissions too high

6)      Large slippage in illiquid markets

7)      Emotional Trading

 

 

Visit their blog to learn about trading ideas on weekly basis and let us know if you would like more information about their trading system!

Continue reading “Trading Levels and Reports for July 17, 2012”

Crude Oil Bounce? & Trading Levels and Economic Reports for 6-06

Posted on by Ilan

Jump to a section in this post:

1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000, Dollar Index
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Economic Reports for Wednesday June 6, 2012

Hello Traders,

Heads up traders! Front month for bonds, ten years and other financials is now September.

Front month for gold is August.

June is still front month for indices and currencies.

Tomorrow we have weekly Crude Oil inventories, which can usually move this market both ways pretty fast…

Crude has been in a very strong downtrend last couple of months and what I see in the below daily chart, is a chance for this market to bounce up a bit, maybe to the 88 area. The trend is still down no doubt (and it is a strong trend as indicated by 99 trend strength level in the chart), but it is rare that markets go up or down with a small correction and this is what I would look for if tomorrows numbers, or more important, market reaction to the numbers are bullish.

Daily Crude Oil chart for your review below:

579

Continue reading “Crude Oil Bounce? & Trading Levels and Economic Reports for 6-06”

Crude Oil and Stock Index Futures: Small Bounce or Short-Term Bottom?

Posted on by Ilan

Jump to a section in this post:

1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Economic Reports for Tuesday May 22, 2012

Hello Traders,

We started the week with nice bounce on stock indices, crude oil  and gold continue to hold.

The big question: Is this a small correction/ bounce after the strong sell off last week or is this a short term bottom?

 

My opinion is that it is just a normal bounce after strong sell off and that there is more room on the downside but we will need to see the market reaction if we can climb up to 1320 and 1337 on the SP and  94.50 on the crude oil

 

Daily charts of both below for your review:

 


Mini SP daily Chart

mini sp daily

 

Crude Oil Futures Daily chart 
crude oil futures daily chart

 

Continue reading “Crude Oil and Stock Index Futures: Small Bounce or Short-Term Bottom?”

Mini Russell 2000, Mini SP 500, Crude Oil, Gold futures Chart | Support and Resistance

Posted on by Ilan

Jump to a section in this post:
1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Economic Reports for Wednesday May 9, 2012

 

Hello Traders,

Below is a screen shot of my desktop charting from today, which I share with interested clients and prospects on a trial basis and subscription basis.

What you see below are my intra-day charts for the : ( from left to right)

Mini Russell 2000, Mini SP 500, Crude Oil ( top right), Gold futures, (bottom right)

If you have not had the trial before,

 

 

1336509475703

Continue reading “Mini Russell 2000, Mini SP 500, Crude Oil, Gold futures Chart | Support and Resistance”

Crude Oil Futures Market Opportunities | Support and Resistance Levels

Posted on by Ilan

Jump to a section in this post:
1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – Corn, Wheat, Beans, Silver
5. Economic Reports for Friday April 27, 2012

 

Hello Traders,

I spend a lot of time talking about stock index futures like mini SP, mini Russell etc.

However there more than a few other markets that have enough volume and volatility to attract daytraders. One of them is Crude oil.

I personally like Crude Oil futures because the “punishment or fulfillment” are pretty fast…and by that i mean that Crude Oil prices are volatile enough most of the times, that day-traders get stopped out with losses or exit with profits much quicker than other markets….Now if you are one of these daytraders who does not believe in stops…Crude Oil futures is not for you.

Each point on Crude Oil futures is $10, so a full $1 move or 100 cents is $1000 against you or in your favor.

We also have the mini Crude which is half the size.


If you have not traded crude before I recommend following it in demo mode, simulating some trades in demo mode before attempting to trade it live. As I said before, this is a volatile market which can work against you pretty fast if you are not disciplined.

Below you will see my daily chart of crude oil futures where I think we may head lower unless we break above 105.50 ( That is $105.50 per barrel)

Friday is statistically better for SHORTS….

Below the daily chart of crude oil you will see an INTRA DAY chart from todays sessions, where you can get a feel for the market behavior.

Daily chart of June Crude Oil Futures:,

562

 

Intra day chart of Crude oil futures from today, April 26th 2012

1335471444446

Continue reading “Crude Oil Futures Market Opportunities | Support and Resistance Levels”

10 minute chart of the Crude Oil market | Support and Resistance Levels

Posted on by Ilan

Jump to a section in this post:
1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Support and Resistance Levels – March Corn, March Wheat, Jan Beans, March Silver
5. Economic Reports for Monday, December 19, 2011

divider black 190

1. Market Commentary

Front month for stock indices, currencies, grains and most active markets is now MARCH. Symbol for March is H

Gold front month is February and Crude Oil front Month will be February this Monday.

If you are not sure which month you should be trading, please contact your broker.

Another trading day brings me to a different topic.

Most of our clients trade stock index futures, like mini SP 500, Mini Russell, Mini Dow Jones futures as well as the DAX and eurostoxx over at Europe ( which appeal to some traders because of the different times these markets are active) etc.

Even within this market group, different markets will behave differently because of difference in the underlying product as well as volume and more. Example the mini Russell 2000 versus the mini SP500.

The mini Russell is a little more “erratic”, bigger, spikier, quicker moves. Mainly because it has less volume than the mini SP 50 but also because the cash index includes the 500 SP stocks plus additional 1500 stocks….

With the growth of electronic trading, volume in Grains, interest rates, currencies, metals, energies and other segments have grown enough that many of these markets are “suitable” for day-trading.

The following is a small list of markets you may want to follow, trade in demo and consider for your day-trading. Another point to keep in mind that some of these markets have lower exchange fees, hence your total transaction costs can be lower!

Indices as discussed above

Currencies ( Euro, Yen, British Pound, Canadian Dollar, Australian dollar)

Interest rates ( US bonds/ 30 years, Ten Years, Five years and even the ULTRA bond contract is picking up volume)

Energies ( mostly Crude oil and Natural gas)

Metals ( gold and silver)

Grains ( beans, corn and wheat)

So the main point I am trying to make today is that there are other markets you may want to look at for day-trading. Some markets fit some traders better because maybe they “respect the trend better”, maybe less volatile or simply because they just are a better match for the trader’s personality on the other side. Some markets are more suitable for “trend following” intraday techniques, while other maybe better for counter trend trading style.

Below you will see a 10 minute chart of the Crude Oil market as an example for a market with wide ranges and volatile moves.

476 Continue reading “10 minute chart of the Crude Oil market | Support and Resistance Levels”

Trading Multiple Time Frames | Support and Resistance Levels

Posted on by Ilan

Jump to a section in this post:
1. Market Commentary
2. Support and Resistance Levels – S&P, Nasdaq, Dow Jones, Russell 2000
3. Support and Resistance Levels – Gold, Euro, Crude Oil, T-Bonds
4. Daily Mini S&P Chart
5. Economic Reports for Wednesday November 2, 2011

divider black 190

Market Commentary

DAYLIGHT SAVING ends this weekend!

International traders especially, please pay attention we are moving the clocks an hour back. Continue reading “Trading Multiple Time Frames | Support and Resistance Levels”

RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.