Financing

Just know that overnight financing can amplify losses or become a small income source depending on interest-rate differentials; this post explains how brokers calculate swaps, how rollover times and your position size affect charges, when negative compounding hits you, and practical steps to limit costly overnight fees while spotting opportunities to earn positive swap.Understanding Swap/Rollover Mechanisms Definition of Swap/Rollover Swap/rollover is the daily interest adjustment applied when you keep a leveraged position open past the broker's cut-off (usually 17:00 New York time for spot FX). It reflects the interest-rate differential between the two currencies (or the funding cost for non-FX…