Roll Over

[cloned777777]

Coming form an equity market, I have never heard of this term.

Is there a disadvantage that comes with 'roll over' when trading forex ?

I am doing a demo, and I just learned about this new buzz word.

I am willing to risk few pips in loss...but I am not shure how the roll over will affect me.

I am googling this term...but I like elite traders way of explaining things.

as an example lets say I am long eur 1.2234 , and short euro 1.2231, and heeere comes roll-over.

Now what ?

 

[TradingWise]

You pay or gain interest depending on the interest rates for the pair you are holding. At some brokers you incur an additional fee for handling the rollover. Most brokers rollover your position at 4PM ET.

http://www.google.com/search?hl=en&lr=&q=forex+rollover

 

[ElectricSavant]

Some brokers pay/deduct the "interest earned or payed" per minute or hourly, and simply add it or deduct it to your balance, without it affecting your open position (s), when you close it intraday or... daily at a certain time, if you "hold over" and did not daytrade it.

Michael B.

 

[cloned777777]

as always, thank you very much ...

forex trade going off line 5 pm

euro wayyy up ..
good news for some, bad news for others.
And for elite...either way, $$ in the bank

long week end coming.

c ya'll monday

cheers