Energy trading involves products like crude oil, electricity, natural gas and wind power. Since these commodities often fluctuate abruptly they can be attractive to speculators.
Analysts in the oil and gas sector use five multiples to get a better idea of how companies in the sector are faring against their competition. These multiples tend to expand in times of low commodity prices and decrease in times of high commodity prices. A basic understanding of these widely-used multiples is a good introduction to the fundamentals of the oil and gas sector.
For most people, it's the exploration and production, drilling, and refining of oil and gas reserves that make the energy sector such an attractive investment. Choosing the right investment—whether that means purchasing shares in an oil and gas company, an exchange-traded fund (ETF), or a mutual fund to help you make a profit
Resource:Investopedia https://www.investopedia.com/energy-trading-4689668