Why Day Trading Crude Oil (CL) Gets Better With Statistics
In my opinion, Crude Oil is an excellent market to apply statistics. Day trading Crude Oil using statistics add to a trader’s profitability. Why is Crude Oil an excellent day trader’s choice? Let’s consider a few reasons.
Crude Oil 30-Minute Range
If you are day trading Crude Oil during regular trading hours, 9:00 am – 2:30 pm EST, you have plenty of movement in most 30 minute periods. This allows for good scalping potential and quick entries and exits.
Crude Oil Daily Range
If you are a day trader but not a scalper, Crude Oil’s daily range allows for opportunities for significant profit potential. It is not uncommon for Crude Oil to move over $1.00 or 100 ticks during regular trading hours.
Magnets or Trading Destinations
When a day trader has a destination to trade to, it makes a market more appealing. These distinctions act like magnets that draw price to them. Crude Oil has excellent destinations or magnets. Two such magnets are ONR (Overnight Range) tagging and IBP (Initial Balance Period) and IBP 1.5 tagging. Crude Oil regularly and consistently tags ONR, IBP and IBP 1.5 during Regular Trading Hours.
Knowing your average or median range for every 30 minute period, knowing how often and when the market will likely tag ONR and IBP 1.5 make Crude Oil a favorite for many day traders.
Check out our statistics and see if Crude Oil becomes one of your favorites too.