What is the difference between mini oil and oil

#1

what is the difference between mini oil and oil

#2

Essentially they are the same commodity but a different quantity, tick amount, and volume.

Nadex follows the full oil contract CL 100 barrels of oil. It ticks in .01 with a value of $10 per tick Nadex will settle based on CL (Full oil contract) - The scanner p/l is based upon the underlying Nadex market which is CL. CL is about 10 more liquid liquid than QM (meaning much higher volume) Usually the bid/ask spread is 1 (maybe 2 ticks) on CL during normal market hours.

Mini-Oil QM is 50 barrels it ticks in .025 with a tick value of $12.50 (it would take 5 spreads to hedge 1 mini oil) The difference in tick prices can cause it to be off by 2-3 ticks in price - Due to lower volume it can have a 1-3 tick wide bid/ask spread

For contract specs you can check out www.cmegroup.com “www.cmegroup.com”

  • click on energy - oil or mini oil. Then click on contract specs.