Long Brent Short Crude

Discussion in 'Commodity Futures' started by yabz, Jan 12, 2019.

  1. yabz


    I am still short crude oil but going to hedge by going long Brent, which has outperformed crude over the last few years.

    Its possible the long term trend is reversing.
  2. MattZ

    MattZ Sponsor

    Sometimes it is just best to cut out. In this business, creativity does not always help.
    You will end up managing two trades with this spread.
    Last edited: Jan 12, 2019
    dealmaker, drm7 and Peter10 like this.
  3. bone

    bone ET Sponsor

    Is your present short CL position you mention underwater at present ?

    We must be looking at different data. For the past several weeks the Nymex WTI contract has strengthened versus the ICE Brent contract using both consolidated, continuous front month data and the March 2019 contracts.
    Last edited: Jan 14, 2019
  4. yabz


    I initiated my short position in crude on 25th October so I'm doing OK with it.

    Over the last few weeks crude has outperformed brent but over 3, 6 months brent has outperformed. It depends on one's time horizon I suppose...