The prudent trader will do something like the following: assume WTI crude is, say $102 at the close of the day session on 4 March. Enter two orders, A) ''Sell 5 WTI April crude, $101.25 STOP'', and B) ''Buy 5 WTI April crude, $100.85 OB''.
If OPEC announce a cut, WTI runs higher and neither order is hit. If they don't (which, btw, they won't...NOBODY cuts production above $100/bbl; take that to the bank), the price increment that's now built-into the mkt due to the putative cut will leave the mkt immediately, or within a couple of hours at worst, and the orders will be hit, and the trader will be out in and out of the mkt in likely a very few minutes with a nice little 2K profit in hand.
Note that the only way that a trade such as described can lose is if A) OPEC announces ''no cut'' **AND** B) WTI April crude drops to a minimum of between $101.24 and $100.86. It can happen -- but, in this enviroment, once WTI moves $0.75-1.00 in a day, it has invariably for months moved at least $0.75 **more** in the same direction later the same day.
Feel free to check out these recent, remarkably consistent price movements in WTI crude at Time & Timing
Completely free, very short sign-up (4 items, all just for admin purposes), and VERY informative if you're interested in recent or historical price analysis of the futures mkts.
Good trading to you!
Hat tip!
We need more like you, FRiend.