WTICrude/BrentCrud vs WTISpot/BrentSpot – What’s the difference?
If you haven’t already done so, we strongly recommend you read our Commodity Trading 101: Energy article first. It explains that oil is traded in futures contracts that are tied to delivery months. If you are having trouble understanding this, click the following links to visualise WTI and Brent on a monthly basis.
You can trade four different Energy instruments at FXChoice:
WTICrude and BrentCrud are expiring contracts that closely follow the real nature of the market. They have expiration dates and rollovers, which can cause confusion for newbies.
WTISpot and BrentSpot are non-expiring synthetic spot contracts designed to eliminate the process of closing and reopening trades every month and do not have expiration dates and rollovers. They work by streaming prices to you that are based on the front (current) month and the next month.