Light Sweet & Brent Crude at ICE

Quote from cml2949:

Day4night,

Yes, I checked with OEC and they don't have inter exchange spreads. At least that is what the rep told me. Maybe I should try a different one.

Using Dorman you are able to trade the spread between ICE Brent & ICE Light Sweet Crude?

Have you used the T4 Mobile for Dorman Direct?
More...

Yes I do it on Dorman's T4. Use the DDE link to excel to chart if need be.

Btw wti-brnt is not inter-exchange; it's intercommodity. You're spreading ICE WTI vs ICE Brent. NYMEX is out of this loop...

But Dorman's execution overall has been very good for me and great service. But I think they use RCG to clear the trade, whereas they do their own clearing for US exchanges (ICE oil is ICE Europe).

You can also get quotes for other grades, like Oman which can be useful as an indicator for WTI-Brent.
 
Quote from day4night:

Yes I do it on Dorman's T4. Use the DDE link to excel to chart if need be.

Btw wti-brnt is not inter-exchange; it's intercommodity. You're spreading ICE WTI vs ICE Brent. NYMEX is out of this loop...

But Dorman's execution overall has been very good for me and great service. But I think they use RCG to clear the trade, whereas they do their own clearing for US exchanges (ICE oil is ICE Europe).

You can also get quotes for other grades, like Oman which can be useful as an indicator for WTI-Brent.
More...

Thanks for the info. Great to hear a satisfied user.

Dorman reaches both my requirements. Ability to trade the spread market between WTI & BRN and the ability to do it on your iphone. Off the top, there should be reduced margin, since your trading a spread right? I will contact them tomorrow.

That spread has some violent moves during the day. Saw it move from about -2.9 to -2.2 on Friday..
 
Quote from BirdBirdBird:

Day for night, do you use dde links or rtd links? I would think you'd get killed using dde links to trade such volatile markets.
More...

Actually I personally just go straight off the numbers. It's an issue for me and at some point I'll get a solution, but so far I've been fine trading all sorts of petro spreads by using delayed charts to get a roadmap, then trading straight off the DOM. Maybe it keeps me thinking? Not sure.

Also WTI/Brent is nowhere near as volatile as say crude alone. No comparison. And not as liquid. But there's greater reversion to the mean I think -- the mean being a "normal" relationship between the two prices, w/WTI a bit over Brent. It can also be harder to get news or a sense of exactly why things are happening like they are. I'm not an expert but so far so good.
 
Quote from day4night:

Actually I personally just go straight off the numbers. It's an issue for me and at some point I'll get a solution, but so far I've been fine trading all sorts of petro spreads by using delayed charts to get a roadmap, then trading straight off the DOM. Maybe it keeps me thinking? Not sure.

Also WTI/Brent is nowhere near as volatile as say crude alone. No comparison. And not as liquid. But there's greater reversion to the mean I think -- the mean being a "normal" relationship between the two prices, w/WTI a bit over Brent. It can also be harder to get news or a sense of exactly why things are happening like they are. I'm not an expert but so far so good.
More...

Yes definitely the spreads are way less volatile than the crude alone. Enough liquidity to get some action though.. Your right the big orders lately that come into the WTI moves the spread really quick ..
 
ICE has a brent -ti spread that is native to the exchange...symbol is ETQO on cqg...not sure why firms do not offer this spread ...it is active and liquid

not sure why IB does not offer this and other spreads?
 
Quote from day4night:

Yes I do it on Dorman's T4. Use the DDE link to excel to chart if need be.

Btw wti-brnt is not inter-exchange; it's intercommodity. You're spreading ICE WTI vs ICE Brent. NYMEX is out of this loop...

But Dorman's execution overall has been very good for me and great service. But I think they use RCG to clear the trade, whereas they do their own clearing for US exchanges (ICE oil is ICE Europe).

You can also get quotes for other grades, like Oman which can be useful as an indicator for WTI-Brent.
More...

day4night,

I got an account set up with Dorman .. They do offer the WTI/Brent spread ..
I'm waiting for them to set up a platform for me? Not Sure why they have to set it up, but I guess it takes a day after the wire is in..
 
day4night,

went live today.. thanks for your advice.. Now I just have to see the statements and find out what the comis and fees are !
 
Quote from cml2949:

day4night,

went live today.. thanks for your advice.. Now I just have to see the statements and find out what the comis and fees are !
More...

Nice. What do you think about the spread itself? From what I understand some of Brent's strength had to do with relatively higher demand from China/Asia as opposed to the States. But lately Baltic Dry Index is back down and apparently commodity demand is somewhat down from China. I also check Oman crude, which is a more sour crude and used more in Asia. Maybe this can lead to the spread widening? (By widening I mean going in the direction of WTI trading over Brent.)

Got any good links for this spread? I can share some of mine if you like.
 
interesting that somebody who wants to trade atlantic arb does not know where to execute trades.... :confused:

atl arb despite being a popular trade by energy trading outlets is actually quite an advanced startegy which depends on many variables - like shipping costs, refinery demands, asia vs us aggregate demand etc.

good luck with that.
 
You must log in or register to reply here.
Back
Top