What is the meaning of swap in the context of cryptocurrency trading on MT4?

1 answers

• Forsyth HalbergNov 07, 2020 · 6 years ago
  When it comes to cryptocurrency trading on MT4, swap refers to the interest rate that is charged or earned for holding a position overnight. It's like the cost of borrowing or lending money in the crypto market. If you hold a long position, you may have to pay a swap fee, while if you hold a short position, you may earn a swap fee. The swap fee is calculated based on the interest rate differential between the two currencies in the trading pair and the size of your position. It's important to note that swap fees can vary between different cryptocurrencies and can have an impact on your overall trading costs. So, make sure to consider swap fees when planning your trades on MT4.
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