Crude Oil Trading Strategy: Backtest, Settings, Rules, and Performance Analysis

Crude oil is one of the different assets you can dabble into as a trader, but the market is quite difficult to master because of the many factors that affect it. If you must trade it, you will need to have a backtested crude oil trading strategy.

The crude oil trading strategy is the buying and selling of different types of crude oil contracts with the aim of making a profit from the fluctuation of oil prices.

Crude oil is a naturally occurring, unrefined liquid petroleum that is extracted from the ground and can be refined into various products like gasoline (petrol), kerosene, diesel, lubricants, wax, and other petrochemicals. It is the world economy’s primary energy source, which makes it a very popular commodity to trade.

In this post, we take a look at crude oil and how to trade it. We provide a FAQ about crude oil trading, and at the end, we have a backtest of several crude oil trading strategies.