Energy trading involves the buying and selling of energy commodities, such as electricity, natural gas, and renewable energy credits. Traders operate in various markets, including spot markets for immediate delivery and futures markets for contracts that specify delivery at a later date. The goal is to optimize profits by taking advantage of price fluctuations. Market participants include utility companies, independent power producers, and financial institutions. They analyze supply and demand, weather patterns, and regulatory changes to make informed trading decisions. Effective energy trading helps ensure a reliable energy supply while promoting competition and efficiency in the energy market.