In order to trade oil, you will need an oil trading company that buys and sells oil contracts for you in exchange for a commission. They are commonly known as brokerage firms or brokers for short. They are very important in oil trading as an individual cannot participate in one without them. That is because the actual oil trading involves huge amounts of money that most person does not have. This way, oil trading companies makes oil trading more accessible to an average person.
Oil trading companies also make it easier for people to trade oil. They can be easily accessed through the internet so that people who are interested in trading oil can create an account online, at the comfort of their own homes. Most oil trading companies also offer free demo accounts so that novice oil traders can practice first and know what it is like to be in a trading environment without risking any of their money. Another thing that oil trading companies provide is the trading software that you will use for the transactions. While most oil trading companies have their own trading software, more and more brokerage firms are starting to use the widely popular MetaTrader 4 platform. Also, some use a web-based trading platform.