How Do I Trade Natural Gas on eToro?

Written by Mike Druttman

Fact checked by Nick Zelver

Updated Mar, 2024

To trade Natural Gas on eToro, start by logging into your account or registering for a new one. Once logged in, use the platform's search bar and type in "natgas"; it should be prominently displayed in the search results. Decide whether you want to place a "Buy" or "Sell" position. Then, input the amount or the number of units you wish to trade. Adjust your trade settings as necessary. Finally, click "Open Trade" to execute your transaction.

Intro

Delving into the dynamic world of energy commodities trading on eToro, I've been particularly drawn to natural gas. This sector's high demand and volatility present unique opportunities and challenges. I'm eager to share my experiences and insights on trading natural gas on this platform.

✋ Before we begin...

It's important to understand that trading natural gas on eToro involves Contracts for Difference (CFDs). Essentially, a CFD is an agreement between you and eToro to exchange the difference in the price of the asset from its value at the start of the contract to its value at the end. It's crucial to note that when you trade CFDs, you're not owning natural gas physically. Instead, your profit or loss is determined by the price changes of the underlying asset. This distinction is key to understanding how trading with CFDs works.

Steps to Trade Natural Gas on eToro

If you're curious about how to start trading natural gas on this platform, these steps will guide you through the process:

Step 1: Accessing Your Account on the Platform

To begin trading natural gas, you need an active and verified investment account. If you're already a user, proceed to the next step. New users should register, complete the verification process, and fund their account.

Step 2: Locating NATGAS for Trading

Finding natural gas on eToro is straightforward. You have two options:

1. Using the Search Bar: Type "natgas" or "natural gas" in the search bar for quick access to relevant results.
2. Through the Menu Navigation: Click on "Discover," then "Commodities," and select "Natural Gas." This method suits those who prefer navigating through menus.

After selecting your preferred method, you'll be directed to the natural gas trading page. Click on the "Trade" button to continue.

Step 3: Choosing Your Trading Position

Evaluate the market and your personal analysis of this energy commodity to decide whether to Buy or Sell.

Step 4: Setting Your Investment Amount

Decide on your investment size, keeping in mind that the minimum investment for commodities, including natural gas, starts at $1,000.

Step 5: Configuring Leverage and Risk Management Tools

These settings are optional:

• Leverage: The default setting is x1, indicating no leverage. Use leverage cautiously, as it can significantly increase both potential gains and losses.

• Stop-Loss: This tool activates when the market moves against your position, based on your predefined conditions.
  
  

• Take-Profit: A crucial tool for locking in profits when the market moves in your favor.
  
  

Step 6: Finalizing Your Trade

After setting your parameters, press the "Open Trade" button to initiate your NATGAS trade. Monitoring the market is essential to evaluate your trade's performance and determine if it leads to a profit or a loss. 

👥 Following and Copying NATGAS Traders

One unique feature I love about this broker is "CopyTrading." Early in my journey, I benefitted immensely by replicating the trades of seasoned natural gas traders. It's like having mentors guide your way.

Risks and Considerations

eToro natural gas trading is not for the faint-hearted! Market volatility can be influenced by numerous factors. I've seen my trades sway due to geopolitical tensions and unexpected weather patterns. Always stay informed and perhaps practice with a demo account first – it helped me gain confidence.

Conclusion and Best Practices

Reflecting on my trading journey, here's what I'd tell my younger self:

• Research, research, research!
• Try out the demo account first.
• Use the 'Stop Loss' and 'Take Profit' tools religiously.
• Diversify, because there's a whole world beyond natural gas.

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy Trading does not amount to investment advice. The value of your investments may go up or down. Your capital is at risk.

Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply. Don't invest unless you're prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.