How gasoline traders can spot market opportunities faster in the digital era

Oil trading is all about making decisions. In order for decisions to be made, however, traders still rely on inefficient and cumbersome processes. They manually aggregate data, process it using Excel spreadsheets, analyze it and then finally execute upon it. Additionally, information is often kept in silos and data aggregation is heavily dependent on others and therefore on their availability. Information and trading opportunities flow at a much higher speed and a trader needs to be able to access all the pricing data they need to identify and capture opportunities when they present themselves. The information, furthermore, is transmitted by chat, verbally or via email making data collection a labor intensive and time-consuming process.

In our day-to-day lives, we can do anything with a few clicks. Why should that be any different for gasoline trading?

Gasoline traders today need to have access to information at their fingertips when they actually need it. Equally important is the ability to make decisions based on data. When traders spend too much time aggregating and processing data, there is not enough time left to analyze it and to make the right call. As a trader, you have your assumptions of what the market should be doing. And what you frequently need is to validate your hypothesis with data and facts. You need access to all of this information in real-time, whether it is from the desktop or your mobile device. Access to information is not just about saving time but also, about helping you identify and capture more market opportunities.

Live trading insights that help gasoline traders capture more opportunities

At Sparta, we believe traders deserve more powerful tools than the currently available. This is what sparked our vision behind the Sparta platform. Whether it is accessing our platform from the desktop or a mobile device, we provide gasoline traders with automated, live trading insights so you can focus on what matters the most: making decisions faster and capturing more market opportunities.

View on a single screen all the opportunities that the market provides

Gasoline traders leverage Sparta’s Global ARB calculator for a live feed of physical, paper and shipping prices. You can view on a single screen all the opportunities that the market provides. You can see in real-time if the ARBs are open or closed and, through our stress testing tools, determine what the market needs to do in order for that ARB to open or close. Sparta helps you to identify the right trade signals, timing and validate your assumptions quickly.

With Sparta’s Global ARB calculator, you can view on a single screen all the market opportunities.
With Sparta’s Global ARB calculator, you can view on a single screen all the market opportunities.

Price Discovery

In Gasoline, blending is an essential component of any trading decision. Understanding the blend economics of a cargo at origin can be a challenge. Sparta’s Cloud Blender runs more than 150 blends continuously and simultaneously for prompt and forward blends from ARA. All on a live basis.  The platform also provides a lot of new data points that are not available to the market like blending percentages, blending values, and others.

Price discovery is made easy with Sparta's Cloud Blender.
Price discovery is made easy with Sparta’s Cloud Blender.

Freight Calculator

When you calculate an ARB, you need to know what the freight is but having access to the forward freight can be frustrating, challenging and time consuming. With Sparta’s Freight calculator, you can easily access the spot and forward freight rates for more than 350 routes globally.

Using Sparta, you can calculate the freight rate for over 350 routes.
Using Sparta, you can calculate the freight rate for over 350 routes.

Thanks to Sparta’s mobile platform you can now have all your live trading insights while on the go. Not only you can access the blend and ARB values in a tailor-made solution, but you can now also follow the swaps market on a live streaming basis, like you would with futures or stocks. You no longer need to stare endlessly at your WhatsApp blasts from brokers. Gain peace of mind knowing exactly where the market is and what opportunities it presents with Sparta’s mobile app.

Backtesting and predictive analytics

In conclusion, all of these spot and forward market data points, such as the blend percentages, cash diffs, freight rates, blending values, landed values and arbitrage margins will be available in the Sparta platform to enhance trader’s analytical capabilities. This unique data set will allow traders to identify historical patterns and search for causalities and correlations that could be applicable in today’s market environment.

Experience what Sparta has to offer! Request your personal demo today.