Indices & Commodities

Oil & Gas

Trade energy products including Crude Oil and Natural Gas. See the CFD Product Guide.

Why trade oil through FXCM LTD?

  • No Re-quotes:1 on all energy products, giving you fast, efficient trade execution without expensive re-quotes.
  • Minimum Trade Size: Trade from as little as 1 contract or $0.10 per tick.
  • Lower Transaction Costs: Trade commission free2, no exchange fees, & no clearing fees. The transaction cost is the spread, the difference between the buy and sell price.
  • Advanced Charting: Keep track of oil and trade from FXCM's advanced charting package.
  • Generous Leverage:3 Generous leverage on all products that are clearly detailed on the Trade Station.
  • Hedging Capability: You can go long or short oil from the same account.
Product Details
Instrument Name Minimum Trade Size Margin Requirement
per min trade size
Target FXCM Spread Minimum Stop Distance (Points)
    USD GBP EUR    
USOil 1 20 12.5 14 0.05 0.1
UKOil 1 20 12.5 14 0.05 0.1
NGAS 1 4 3 3 10 0.005

Trading Oil on Margin

FXCM's margin rates are displayed in the dealing rates window on the trade station and detail the client's capital obligation to buy or sell 1 contract of a single index. FXCM has standardised minimum/incremental trade sizes for each instrument. To calculate the margin required to place the minimum trade size, simply multiply the minimum trade size by the margin required (per contract) which is displayed in the dealing rates window.

  • USOil minimum trade size is 1 contract
  • MMR is $20 (U.S.) per contract
  • 1 contracts x $20 = US$20

Expiration

Oil has a monthly expiration (please see the tables below). Clients that hold an open position on the 'FXCM Expiration' will be closed at our bid/offer at:

  • USOil: 5:15 p.m. ET
  • UKOil: 5:15 p.m. ET
  • NGAS: 5:15 p.m. ET

The only consequence of this is the client will realise any floating P/L at the time it is closed.

Example:

  • Client is long 5 USOil @ 72.00.
  • One day prior to expiration, the expiring month is trading at 73.00.
  • The customer position is closed at 73.00 and the profit is credited to the clients trading account.
    • All pending Stop and Limit orders that are associated with the expiring contract will be canceled.
  • Client will need to re-establish another long position (assuming they wish to) and reinsert Stop and Limit orders to the new open position.
2013USOil
Contract Month Reference Expiration FXCM Expiration
2013UKOil
Contract Month Reference Expiration FXCM Expiration
2013NGAS
Contract Month Reference Expiration FXCM Expiration

1 No Re-Quote Policy: FXCM maintains a no re-quote policy. Circumstances exist based on order size, trading pattern, and market conditions where individuals may not receive execution at the requested rate. Orders are executed at the next available rate within the trader's parameters, subject to market conditions. The difference between the requested rate and final execution price may be more or less advantageous based on the market activity and available liquidity.

2 Compensation: When executing customers trades, FXCM can be compensated in several ways, which include, but are not limited to: adding a mark-up to the spreads it receives from its liquidity providers and charging commission to accounts that trade with FXCM's lowest spreads which are available to qualifying accounts. Under the Dealing Desk execution model, FXCM may act as a dealer and may receive additional compensation from trading.

3 Leverage: Leverage is a double-edged sword and can dramatically amplify your profits. It can also just as dramatically amplify your losses. Trading foreign exchange with any level of leverage may not be suitable for all investors.