Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.13% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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  • Commodities /Trading Product

    FB offers a flexible and easy way to gain exposure to some of the world's most popular commodities including energies and metals all from within your MetaTrader 4 trading platform.

    Commodity markets are attractive to speculators as they are susceptible to dramatic changes in supply and demand.
    Commodities
    Facts
    • Over 19 Commodities to trade
    • Energy, Agriculture and Metals
    • Spot and Futures CFDs
    • Leverage up to 1:30
    • Spreads as low as 0.1 pips
    • Deep liquidity

    How does Commodities Trading Work?

    Commodities cover energy, agriculture and metals products. These products are traded in futures markets and derive their value from demand and supply characteristics. Supply characteristics include the weather in the case of agriculture and costs of extraction in the case of mining and energies. Demand for commodities tends to be characterised by broader conditions such as economic cycles and population growth. Commodities can be traded as stand alone products or in pairs. Metals and energies are traded against major currencies whereas agriculture futures contracts are traded as stand-alone contracts.

    Commodity Trading Example

    Buying: Wheat
    The gross profit on your trade is calculated as follows:
    Opening Price
    $435.25 * 100 contracts * 4 = USD $174,100
    Closing Price
    $460 * 100 contracts * 4 = USD $184,000
    Gross Profit on Trade
    USD $184,000 - $174,100 = $9,900
    Opening the Position
    Wheat_N7 is currently trading at 434.00/435.25 and you are expecting Australia's East Coast crops to be affected by adverse weather patterns over the coming year which will result in lower than average crop yields.

    You buy 100 contracts of Wheat (4 bushels per contract) at 435.25 which equals USD $174,100 (435.25 * 100 * 4).(4 bushels per contract) at 435.25 which equals USD $174,100 (435.25 * 100 * 4).

    Closing the Position
    Your research surrounding weather conditions turns out to be correct. Lower crop yields this year have caused Wheat prices to increase to 460.00/462.15. You exit your position by selling your contracts at 460.00.
    Instruments Contract Margin Spread Commission Tick Size Tick Value Min. Lot Max. Lot Long Swap Short Swap Trading Time Stop Level
    USD Quote Currency Points Points DST.（GMT+3）
    ST.（GMT+2）
    Mon. to Fri.
    USOUSD USOUSD 100（Barrel） 3% 10 0.001 0.1 0.01 500 -2.65 -1.85 1:01-23:59 *
    UKOUSD UKOUSD 100（Barrel） 3% 10 0.001 0.1 0.01 500 -2.65 -1.85 3:01-23:59 *
    XAGUSD XAGUSD 5000（oz.） 3% 10 0.001 5 0.01 50 -0.82 0.29 1:01-23:59 *
    XAUUSD XAUUSD 100（oz.） 3% 10 0.01 1 0.01 50 -4.89 2.58 1:01-23:59 *
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