Trader Steve's Blog » Energy Futures http://www.tradersteve.com Trader Steve's Journal and Blog Sat, 20 Feb 2010 23:03:03 +0000 http://wordpress.org/?v=2.9.1 en hourly 1 CL vs. QM Light Sweet Crude Oil Futures contracts http://www.tradersteve.com/2010/02/14/cl-vs-qm-crude-oil-futures-contracts/ http://www.tradersteve.com/2010/02/14/cl-vs-qm-crude-oil-futures-contracts/#comments Mon, 15 Feb 2010 00:46:12 +0000 admin http://www.tradersteve.com/?p=483 Last week I started to take a look at the QM or Mini Crude Oil contract as an alternative to trading the CL or full size Crude Oil contract.  I am primarily a scalper/very short term trader and set out to trade the QM on Friday before the news as can be seen by the following trades.

My biggest concern trading the QM was execution speed and overall liquidity. The QM or mini contract represents 500 barrels of versus the 1000 barrels of oil in the full size CL contract. I was a bit more difficult to get fills when I would try to scratch a position. The CL contract although more leveraged still provides more “stopping places” with 100 ticks per point versus 40 in the QM. At the end of the day IMO the QM contract lacks liquidity and is only a more viable instrument for those trading small accounts and need a less leveraged contract in order to trade more contracts. For more information regarding contract specifics see:

Regular CL:

Light Sweet Crude Oil

E mini QM:

E mini Light Sweet Crude Oil

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