A swap is the interest fee that is either credited or debited to a trader’s account when a position is held overnight. This cost, also known as an overnight financing fee, is applied daily at 23:59 platform time, based on the instrument’s specifications.
How Does a Swap Work?
Swaps vary depending on the asset class:
🔹Forex Swap (Currency Swap): Based on the interest rate differential between the two currencies in a pair.
🔹Commodities Swap: Typically related to financing costs and interest rates on the asset.
How to Calculate a Swap?
Swaps are calculated using the following formulas:
For Standard Swap Calculation:
SWAP = 1 point value * swap value in contract
For Interest Rate-Based Swap Calculation:
SWAP = Volume * Contract size * Price at swap time * swap value / 100
Where to Find Swap Rates?
At Eurotrader, you can check the swap rates for each trading instrument in:
🔹The Contract Specifications section on our website.
🔹The Trading Platform (by selecting "View" > "Symbols").
🔹Our Trading Calculator, which provides real-time swap calculations.
Note: Swap-free accounts (such as Islamic accounts) may be available for traders who require Sharia-compliant trading conditions.
To simplify swap calculation, you can use Eurotrader's all-in-one trading calculator, available on our website.
If you have any questions, feel free to contact us!
