Transfer of position, pros and cons.

There is a constant debate among traders about whether or not to transfer positions to the next day; most players prefer to conduct intraday trading, but there are also quite a few supporters of longer-term transactions.

Although transferring positions to Forex requires some costs, it is sometimes simply necessary to make a profit or avoid losses.

It all depends on the specifics of trading, such as the trading instrument, the amount of leverage and the situation on the market.

Trading with low leverage.

Some traders, having a sufficient deposit, prefer to trade with virtually no leverage; this approach to trading minimizes the risk of losing a deposit, but also significantly reduces potential profits.

To obtain a noticeable profit in one transaction, it is required that the trend pass at least 100-200 points, which quite rarely happens within one day, so with this trading option, transferring the position to the next day is simply necessary.

At the same time, the swap (transfer fee) is so small that it practically does not affect the financial result of the transaction. Scalping trading.

The main distinguishing feature of the scalping strategy is large leverage, which increases risk and requires constant monitoring of transactions.

In addition, the importance of the swap in relation to the trader’s deposit increases significantly. It is for these reasons that if you use a leverage of more than 1:100 when trading Forex, it is not recommended to roll over your positions to the next day.

Swap size.

Depending on the currency pair and the direction of the transaction, the size of the swap commission can vary significantly, and in some cases it even has a positive sign, that is, you make a profit for transferring the transaction. There is even a strategy for making money using this scheme; it is described in the article “ Carry Trade ”.

Market influence.

Sometimes, in order to avoid losses or gain additional profit, positions have to be transferred.

The day is ending, everything suggests that the situation will develop in your favor and you are simply forced not to close the deal, but to wait for the desired result. To avoid getting into such situations, try to complete all open transactions a few hours before the end of the day.