Oil has been an incredibly interesting commodity to watch for some time now, and for good reason. In late 2014, a massive supply glut hit the market, leading to the floor falling out of the bottom of the market. Since then, we've seen incredible volatility in the commodity as oil producers continue to pump more and demand continues to weaken. However, there is a glimmer of hope here. Next week, a big meeting will largely define the short and medium term movements in the price of the commodity. Today, we'll talk about that meeting, why investors are more hopeful this time around, and what binary options traders should be watching for when trading the commodity.

Next Week's Meeting Will Define Movements In The Price Of Oil

As mentioned above, next week is likely to be a big week for oil as a very important meeting will take place. From Monday, September 26th through Wednesday, September 28th, the world's leading oil producers will be meeting to discuss the current state of the market.

There's quite a bit of buzz surrounding this meeting because for quite some time now, the world's oil producers have been working to come to an agreement. The ultimate goal at the moment is to freeze the production of oil at the current levels in hopes of leveling out supply and demand. If this happens, the price of oil could skyrocket in a big way. If this doesn't happen however, oil is likely to plummet as recent supply and demand data show that the commodity has taken a turn for the worst.

Why Investors Are Optimistic About The Meeting This Time Around

The reality is that the world's top oil producers have met several times since the oil crisis started. Each time they met, the goal was to come to a solution that would solve the supply glut issue. However, at each one of these meetings, there was no deal made. Historically, oil producers simply don't get along. Geopolitical disagreements often lead to the commodity being used as a political weapon. In fact, this is exactly why we haven't seen a deal quite yet.

Nonetheless, this time around, some investors are optimistic about the meeting and are expecting to see a deal. This is in large part the result of comments made by the Venezuelan President. In a statement to the world after a meeting with another large oil producer, he explained that he believed that a deal between OPEC and non-OPEC oil producers was on the horizons. So, investors are hopeful that his beliefs actually come to fruition.

What Binary Options Traders Should Be Watching For

At the end of the day, no matter how the meeting goes, we're likely to see massive movements in the value of oil throughout next week. Ultimately, the movement in the price of the commodity will largely depend on what we see from the OPEC meeting. So, the first thing that investors are going to want to watch for is any news of how the meeting is going, any expert opinions with regard to what we can expect from the meeting, and any other media coverage of the story. At the end of the day, the news moves the market, and news surrounding this story is likely to cause some massive movements.

Also, it's going to be important to pay close attention on Wednesday. This is when the meeting will come to a close and a decision will be made. Following the announcement of the decision, we're likely to see massive movement in the market, and if you're ready to take advantage of the movement, you'll likely generate a strong profit.

What Do You Think?

Where do you think oil is headed? Join the discussion in the comments below!

[Image Courtesy of Wikipedia]