WTI crude oil futures are now trading around $49.2 per barrel while Brent crude oil futures were hovering around $53.9 per barrel.
“Prices seem to have found the bottom of this rout as prices rebounded off a support of $46.92 and $52.68 for West Texas Intermediate and Brent,” according to Phillip Futures.
Those with a high conviction that the oil market has bottomed may utilize leveraged position on oil futures to capture the potential upside. For instance, the ProShares Ultra Bloomberg Crude Oil (NYSEArca: UCO), which takes two times or 200% daily performance of WTI crude oil, and the VelocityShares 3x Long Crude ETN (NYSEArca: UWTI), which tracks three times or 300% the daily performance of WTI crude. On Wednesday, UCO jumped 4.5% and UWTI surged 6.3%. [Investors Capitalize on Oil Swings with Leveraged ETFs]
United States Oil Fund
For more information on the oil market, visit our oil category.
Max Chen contributed to this article.