natural gas

NATURAL GAS INVESTING


Natural gas trading

Natural gas is now the 2nd most used type of natural resource to create energy. It represents 21 percent of internationally generated power in 2017. The prevalence of natural gas was preserved by its increased usage in developing nations like China and Indonesia for the past ten years or so. Natural gas is used to produce electricity, boiling water, as a fuel for vehicles, and to cook meals.

Natural gas prices might be volatile, and traders ought to expect large price swings. However, investing in natural gas, along with different products, is a way to achieve greater diversification. Investing at a basket of products that comprises additional energy commodities like natural gas, crude oil, metals, and agricultural commodities may beat inflation.

Natural gas is traded as a futures contract in which two parties agree to exchange a fixed amount of natural gas at a pre-defined price on or before the fixed date. A futures contract is one of the most common and popular ways to trade aluminum. Natural Gas Contract Specification

Instrument – Natural Gas

Currency – USA

Spread- 0.003

Minimum trade size-100

Margin-2.00%

Trading hours (GMT) – 23:00 – 21:59

What influence the price of Natural gas?

Global demand

Demand for natural gas has been on the rise. At the subsequent five decades, demand for natural gas is predicted to grow by approximately 1.6percent annually — with the vast majority of the increasing demand coming from emerging Asian markets.

Natural Gas Storage

The final price of natural gas can be influenced by the expense of maintaining storage facilities. All these field locations that are underground are an integral link in the distribution chain for delivering gas to companies, utility firms, and homes. An uptick in prices for storage may lead to a corresponding rise in the price of natural gas.

The other key factor that can influence the price of natural gas is the market sentiments. Any news or belief that indicates that the demand for natural gas will rise dramatically at some point in the future can cause a rally in natural price and vice versa.

 

Advantages of trading natural gas CFD with Capital Street FX

As most of the traders speculate on the price movement and won’t need natural gas in physical form. This is why the most useful instrument for traders in the contract for difference (CFD). This allows traders to buy or sell without owning the underlying instrument. It also gives freedom to trade a particular market from either side i.e., and a trader can go long or short according to his strategy. CFD is a very cost-efficient instrument. The brokerage on CFDs is very low.

 

Why trade Natural gas CFD with CAPITAL STREET

  • BROAD RANGE OF MARKETS- Access to the popular commodities markets, including energy, metal, and agricultural products.
  • CSFX offers you our stat of the art platforms and range of trading tools
  • Trade using Margin- Get greater exposure to the marketplace with a small deposit and spread your capital using margin.
  • Automate your trade facilities and direct access to the market
  • Safety of funds