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Oil Market Structure

Published 07/03/2016, 02:51 AM
Updated 07/09/2023, 06:31 AM

Always avoid the last 45 minutes of the "Pit Close" in the oil market, unless you have reached the master's skill level as a oil trader, and even then you better be on your A-Game as a trader. Institutional traders often close out or initiate new positions on the last 5-minute bar of the "Pit Trading Session" which often results in large relative volume to overall market liquidity dynamics and leads to explosive spikes in oil at the close (1:30 CST).

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