Types of Oil Traders: Scalpers, Day Traders, Swing Traders and Position Trading
Best Crude Oil Trader Type
There are different types of Oil traders. The type of a trader one is depends on the amount of time that they hold their oil trade transactions.
The different types of oil traders also use different chart timeframes to place their crude oil trades.
The different types of Oil traders are:
- Scalpers
- Day traders
- Swing traders
- Position Oil traders
Each type of Oil trader is explained below and as a beginner trader you can decide which type of Oil trader you want to be based on your trading personality and the crude oil chart timeframe that you would want to be trading with.
Scalpers
The Oil traders who are scalpers hold on to their crude oil trades for only a few minutes. With the objective of making a small amount of pips in profit, 5 to 10 to 20 pips.
Scalpers are the type of Oil traders that make many oil trading transactions in one day and participate in oil trading during the busiest market hours of the crude oil market. A scalper oil trader can open anywhere between 30 to 50 crude oil trades per day.
Scalpers are Oil traders who can make quick decisions.
Scalpers use 1 min oil charts to put their oil orders. They use 5 minutes Oil Trading chart timeframe to determine the oil trend, if the oil trend is going up or down and to decide their entry and exit.
Scalper 5 minutes oil trading time frame oil trading strategy
A Scalper using 1 min Oil Trading chart timeframe wants to go long, checks 5 minute crude oil chart, looks like the crude oil trading example explained below, since it shows the oil trend is going up, the scalper will then decide it's okay to buy oil.
Types of Oil Traders - Scalpers - Scalping Oil Trading - Scalper Oil Trader
Day Traders
Oil Trading Day Trader - This type of Oil trader holds on to their crude oil trades for a few hours but not more than a day. With the aim of making quite a number of pips profit, 30 to 70 pips.
The oil day trader makes 2 or 5 oil trading transactions in one day, participating during the busiest times of the crude oil market & they don't hold their oil orders overnight.
These Oil traders use the 15 min Oil Trading charts to put their oil orders. They use 1 hour oil chart to determine the crude oil market trend, if it going up or down & to decide their entry and exit.
Oil Trading Day Trader 1 Hour time frame oil trading strategy
A Oil Trading day trader using 15 min oil chart wants to go long, checks 1 hour oil chart timeframe, it looks like the crude oil trading example explained below, since it shows the crude oil market trend is going up, the oil day trader will then decide it's okay to buy oil.
Types of Oil Trading Market Traders - Oil Trading Day Traders - Crude Oil Day Trading - Types of Oil Traders
Swing Traders
Oil Trading Swing Traders - This type of oil trader holds on to their Oil trades for a few days to a week - With the objective of making a large number of pips in profit, 100 to 400 pips.
This type of crude oil trader makes an average of 2 to 5 oil trading transactions in one week, holding onto their trades overnight. Swing oil trading method requires oil traders who are patient.
This type of oil trader uses the 1 hour Oil Trading charts to put their oil orders. Swing traders use the 4 hour oil chart to determine the Oil Trading trend, if it is going up or down and to decide their entry and exit.
Oil Trading Swing Trader 4 Hour chart timeframe oil trading strategy
A oil trading swing trader using 1 hour candlesticks oil charts wants to go short, checks 4 hour candlesticks crude oil chart, it looks like the crude oil trading example explained below, since it shows the oil trend is going down, the swing oil trader will then decide it's okay to Sell/Go Short oil.
Types of Oil Traders - Swing Traders - Swing Oil Trading - Swing Oil Traders
Position Crude Oil Traders
Position Oil Traders - This type of oil trader holds on to their oil trade for weeks or months. With objective of making a large amount of pips, 300 to 1000 pips.
Position Oil Traders place an average of 2 to 5 orders in a year, position oil trading method requires those who are patient, experienced and have huge account balances that can withstand huge draw-downs.
Position oil traders use 1 day or weekly oil charts to put their oil orders. They use weekly oil chart to determine the oil trend, if it going up or down and to decide their entry and exit.
Types of Oil Traders
Position oil trader using the daily candlesticks oil charts wants to go short, checks weekly oil chart timeframe, it looks like the crude oil trading example explained below, since weekly oil chart timeframe shows the oil trend is going down, the position oil trader will then decide it is okay to sell - Go short.
Types of Oil Traders - Position Traders - Position Oil Trading - Position Oil Traders
Best Oil Trader Type
The most popular type of Oil trader or the best Oil trader type is the day trader and scalper oil trader depending on the method of oil trading of each trader, but these two oil trading methods are the most widely chosen oil trading methods. Scalping crude oil trading requires those that can make quick decisions while oil day trading is for those who want their crude oil trades to run for longer and have more time when making oil trading decisions. When starting it is best to try oil trading scalping or oil day trading. This oil trading methods are the best because you do not leave oil orders open for too long. At the same time you do not leave crude oil trades open overnight and you can trade when you have time to watch the crude oil market movements. In Oil Trading it is best keep oil orders open for as long as the oil trend setup is in your direction and exit immediately once the oil trend direction starts to reverse.
When it comes to the question about which type of oil trading style is used by the best Oil traders or by the top Oil traders the two oil trading methods above are the most commonly used oil trading methods. Oil traders can also automate these scalping or day trading styles by implementing their oil trading strategies using automated crude oil trading bots.
For oil trading swing traders, leaving oil trade transactions too long can also take up your profit & this oil trading method also requires a lot of skills so it is best to stick to the short term oil trading methods for most beginner Oil traders.
Position oil trading isn't good as it requires a huge account balance & sometime it can result to huge draw-downs.
For oil trading swing trading and position oil trading methods, leaving a oil trade transaction open for too long, may mean these trades can reverse and move against you with a lot of pip movements and can even wipe your crude oil account, for this reason swing & position oil trading methods are not very popular. It is best to stick to oil trading scalping and oil day trading so as to better manage the funds in your crude oil trading account.
It is not recommended for the Oil trader who is a beginner trader to leave orders open overnight, it's best to always close open oil orders at the end of the day.
Crude Oil Trading News Traders - Types of Oil Traders - Crude Oil Trading News Trading - this oil trading news trader places oil orders during economic news release time, either guessing the news will be positive/negative or placing pending oil orders above & below crude oil market oil price. Crude Oil Trading News method is risky as volatility is massive, whilst liquidity might be non-existent. You might not get filled or, worse, your stop loss might not be honored! Crude Oil Trading News Trading method can be very profitable for some oil traders but requires some skills.
Oil Bot Traders - Types of Oil Traders - Automated Oil Traders - the crude oil trading robot trader - automated oil trader is the type of oil trader that uses automated oil trading programs known as crude oil trading robots - Bot Expert Advisors EA Automated Robots to trade the online crude oil market. This automated oil trader will setup an Automated Oil Bot on their oil trading platform & the automated trading bot will then open and close trades on behalf of the trader based on the strategy that has been used to program this automated crude oil trading bot. If you are new to automated crude oil trading & would like to find a trader using automated trading robots to help you come up with an automated trading bot, then you can find out more about automated trading on the Crude Oil Expert-Advisors Article - MQL5 Oil Expert Advisor Robots Community.
