sorry for the silly question, but does anyone here understand and happy to share the fundamentals of power trading?
Different depending with the products you would be trading. Are you inquiring about long term or short term power?
sorry, i wasnt clear in my question. I was thinking of long term power derivatives. So UK power financial futures and German financial power forwards for example.
European power I am not familiar with, being that weather patterns and generation stacks are different I cant say it is exactly the way it would be in the US. As far as it goes here Term power is traded mostly on Natural Gas prices, weather and depending on how far you look it is also traded on economic conditions. Obviously a rebounding economy will lead to higher electricity demand which will in turn take everything up with it. Again, depending on the timeframe your trading, transmission line outages and power plant outages will also affect prices at different points along the curve.
anyone know anything about nyiso virtual market? or transmission congestion contracts? do you need to be a utility or have very deep pockets to trade these?