Swap, or rollover, is the interest paid by or to a trader for holding an open position overnight.
Swap is an unavoidable part of forex trading as every trade requires you to borrow one currency in order to buy another, and interest rates are applied; in every transaction traders pay interest on the currency that is borrowed, and get paid interest by the broker for the currency that is bought.
Lets give an example. Say you have a long AUDJPY position and keep it open overnight. If the interest rate of the AUD is 4.5% and the one of the JPY is 0.1%, you will be earning swap of 4.4% because your broker is paying you the interest on the AUD, and you are paying back the interest on JPY.
Swap rates are important when choosing a forex broker, especially for long-term traders, as they are one of the components of the overall transaction costs together withspreadsandslippage.
Below is a list of up-to-date swap rates for the following currency pairs: EURUSD, USDJPY, GBPUSD, AUDUSD, USDCHF, EURJPY, EURGBP, EURCHF, USDCAD, NZDUSD.
Forex brokers providing Negative balance protection
Singaporeans lose millions to investment scams
The Monetary Authority of Singapore caps leverage at 1:20
Commission-free stock trading on the rise in the US and UK
FCA focuses on the crypto market with 87 companies under investigation
PayPal may be pulling out of the Libra project
Why You Really Need An Updated FBS CopyTrade Version With Stop-Loss and Take-Profit
IKEA Island accepted its first Ethereum based payment
Golden Trade Review – is goldentradingoption.com scam or good forex broker?
FTCA Review – is ftel-fx.com scam or good forex broker?
Gointrading Review – is gointrading.com scam or good binary options broker?
FlixGM Review – is flixgm.com scam or good forex broker?
Bexplus Review – is bexplus.com scam or a good crypto CFD broker?
F2 Trading Corporation Review – is f2tradingcorpth.com scam or good crypto robot?
CapitalPanda review – Is capitalpanda.com scam or good forex broker?
CoinManagements review – Is coinmanagements.com scam or good forex broker?
DachFin review – Is dachfin.com scam or good forex broker?
Cryptosplanet review – Is cryptos-planet.com scam or good forex broker?
Forex trading carries a high level of risk and may not be suitable for all investors. Before you engage in trading foreign exchange, please make yourself acquainted with its specifics and all the risks associated with it. All information on ForexBrokerz.com is only published for general information purposes. We do not present any guarantees for the accuracy and reliability of this information. Any action you take upon the information you find on this website is strictly at your own risk and we will not be liable for any losses and/or damages in connection with the use of our website.
All textual content on ForexBrokerz.com is copyrighted and protected under intellectual property law. You may not reproduce, distribute, publish or broadcast any piece of the website without indicating us as a source. ForexBrokerz.com does not claim copyright over the imagery used on the website, including brokers logos, stock images and illustrations.