What is Swap?

The overnight interest fee charged or credited when holding a position past the daily rollover time (usually 5pm EST). Swap rates vary by pair and direction — going long on a high-yield currency earns

Swap in Prop Firm Trading

The overnight interest fee charged or credited when holding a position past the daily rollover time (usually 5pm EST). Swap rates vary by pair and direction — going long on a high-yield currency earns positive swap, while shorting it costs swap. For prop firm traders, swaps are usually negligible for intraday trades. However, swing traders should factor swap costs into their calculations, especially for exotic pairs where swaps can be $10-50 per lot per night.

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