Hedging
Taking an offsetting position to reduce the risk of adverse price moves in an asset you hold or will need.
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CL: Crude Oil Futures
Crude oil (CL) is the world's most actively traded commodity future — a physically-settled contract on WTI crude, driven by geopolitics, OPEC and the global economy. Learn its specifications, why physical settlement matters, the meaning of contango and backwardation, and the cautionary tale of negative oil prices.
Futures Contract Specifications
Every futures contract is defined by a precise set of specifications — the underlying, contract size, tick size and value, expiry months and settlement type. Learn to read a contract's 'specs', why the multiplier and tick value determine your real exposure, and how mini and micro contracts scale risk to fit your account.
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