What Are Swap Charges?
Swap charges, also known as rollover fees, are costs or credits applied to your trading account when positions are held overnight. These charges are determined by the interest rate differentials between the currencies involved in a trade.
How OctaFX Calculates Swap Charges
OctaFX calculates swap charges based on the size of your leveraged position and the duration it is held open beyond the trading day. The specific rates vary depending on the currency pair and the direction of your trade (long or short).
Impact on Your Trading
Swap charges can influence your trading profitability, especially for strategies that involve holding positions for multiple days. Being aware of these fees helps in planning and managing your trades more effectively.
Strategies to Manage Swap Charges
To minimize the impact of swap charges, consider trading currency pairs with lower rollover fees, balancing long and short positions, or closing positions before the end of the trading day to avoid overnight charges.
Trading on financial markets involves the risk of losing capital.
