Any good broker to buy oil from?

Hi guys,


I would like to buy crude oil and HOLD FOR A VERY LONG TIME (not with my life saving, just some extra bucks)...I was wondering if there are any good ECN brokers that will allow me to do so at a good price (commissions) and also will allow me to hold on to it for a long time. Anybody can suggest some? Also, when I do buy it, because it is a commodity, do I have to propose a certain date to sell it...or is it like currency where I can just buy it at market price and hold it? It would help if u guys can explain the format of buying commodity to me...thanx


also, who here thinks oil will eventually go up? Doesnt that kinda of suck, when the economy does recover, commoditiy like oil that we use everyday will skyrocket...and unless the govt increase interest rate drastically, the dollar will plummet. Thanks

Futures are quite expensive and there is some rollover involved at some point if I am not mistaken. I don't know how it works, I have never done it. For poor people, such as myself, ETFs like USO are probably the best we can do. Unfortunately they do rip ya off a bit. Oil is down 55% from Oct 1, while USO is down 66%. Although, it did go up about 3% more as well during the run from early 2008 to summer 2008, so, take the bad with the good?

If you are set on futures, I don't know how much money you have?, I would go to Interactive Brokers. Their platform may be horrible and they may charge fees, but they are highly respectable and the money will be secure. www.cme.com has links to more futures brokers.

For other specifics, I cant help. I do own both silver and oil right now through ETFs, it is cheaper and I can do the buy and hold, how it works with futures is a little vague.

There's a few brokers that will let you do it alongside of Forex, in the same way that Oanda allows you to buy spot Gold & Silver. There's a place called www.forexyard.com that will let you do spot Oil (I believe the spreads are somewhat reasonable - about 4 cents). This is not the same as futures or an ETF, they'll either mark up or mark down oil just like they would mark up or mark down the currencies vs. where the real market is.

Haven't tried it b/c I don't really have the desire (or have an account there!).

If you live in the US you cannot trade oil thru a forex broker - your only option is a futures broker.

Can't Dukascopy accommodate this?

You can give it a try with Dukascopy, but I was told when I tried with several brokers I was told that oil was not available to US citizens except via the futures market.

ODLmarkets offers spot OTC oil both West Texas Intermediary oil and Brent crude oil, its just like trading fx as one poster says they mark up the spread. Their fixed spread for WTI oil is 5 pips from around 0700GMT~2200GMT outside of this time window the spreads vary and are quite high.

Minimum is 100 barells which coresponds to 0.1 units by vol on MT4.

http://www.odlmarkets.com/oil/

If anyone knows of any other brokers who offer otc oil please let us know.