Swap Rates & Rollovers
Swap rate, also referred to as Rollover rate, is the overnight interest (that is charged or paid) for holding positions open overnight in foreign exchange trading. It is determined by the overnight interest rate differential between the two currencies involved in the pair and whether the position is a buy ‘long’ or sell ‘short’.
EightCap is not involved in the physical delivery of trades, thus all positions left open at the end of the trading day will be rolled over to a new value date and will therefore have exposure to a swap charge or credit.
Swap rates are affected by market conditions and the interest rate of the affiliated countries of the chosen Forex currency pair. Rates are released weekly by the financial institutions we work with and are calculated based on risk-management analysis.
Important Elements of Swap Rates
- Swap rates are applied only when there are positions kept open overnight.
- Swap rates are applied at the end of the trading day or at 00:00 platform time.
- Swap rates are calculated in points and can be positive or negative depending on the interest rate of the two currencies.
- Swap rates are calculated and applied on every trading night, however on Wednesday night swap rates are charged at triple the usual rate to account for the weekend.
- Each currency pair has its own swap charge and is measured on a standard size of 1 standard lot (100,000 base units).
EightCap Latest Swap Rates
To view our most up-to-date swap rates, please refer to the Market Watch panel in our MetaTrader 4 trading terminal.
Simply right-click on any instrument in the ‘Market Watch’ section, then left-click on the ‘Symbols’ option from the dropdown menu. Select the currency pair you desire from the popup window then left-click on the ‘Properties’ button – a new window will open that shows the long and short swap rate for the pair selected.
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Risk Warning: Margin trading involves a high level of risk, and may not be suitable for all investors. You should carefully consider your objectives, financial situation, needs and level of experience before entering into any margined transactions with EightCap, and seek independent advice if necessary. Forex and CFDs are highly leveraged products which mean both gains and losses are magnified. You should only trade in these products if you fully understand the risks involved and can afford losses without adversely affecting your lifestyle (including the risk of losing substantially more than your initial investment). A Product Disclosure Statement (PDS) and a Financial Services Guide (FSG) for our products are available to download from our Legal Documentation page. You must assess and consider them carefully before making any decision about using our products or services.
EightCap is a registered business name of EightCap Pty Ltd (ABN 73 139 495 944). We are regulated by the Australian Securities & Investments Commission (ASIC) - our AFSL number is 391441. This licence authorises us to provide financial services to people in Australia.
The information on this website is of a general nature only and is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. EightCap is not a financial adviser, and does not issue advice, recommendations, or opinion in relation to acquiring, holding or disposing of a margined transaction. We provide general advice only and accordingly you should consider how appropriate the advice (if any) is to your objectives, financial situation and needs before acting on the advice.