CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the High risk of losing your money.

What is Swap Fee in Forex?

In Forex, when you keep a position open through the end of the trading day, you will either be paid or charged interest on that position, depending on the underlying interest rates of the two currencies in the pair. Overnight rate is the interest paid or earned on holding a position overnight. Each currency has its own interest rate. Since foreign exchange is traded in pairs, each transaction involves not only two currencies, but also two different interest rates.

You will earn the interest rate on the currency you bought and pay the interest rate on the currency you sold. The interest rate of the currency you bought is higher than the interest rate of the currency you sold, and you can earn overnight interest (positive overnight rate).

If the interest rate on the currency you bought is lower than the interest rate on the currency you sold, you will need to pay overnight interest (negative overnight rate).

Overnight rates may increase your transaction costs or profits.

How is Swap Fee Calculated?

For Forex, the Swap Calculator works as follows:

1. Swap Rate (in currency) × Lots (Volume) = SWAP in base currencies

2. Swap Rate (in pips) × Lots (Volume) = SWAP in quote currency

Positive Swap Fee vs. Negative Swap Fee in Forex

A forex swap is the interest rate differential between the two currencies of the pair you are trading. when you buy a currency with higher interest rate and sell a currency with lower interest rate, you are charged a positive swap. Likewise, when you buy a currency with lower interest rate and sell a currency with higher interest rate, you are charged a negative swap

When Are Swaps Charged?

The platform charges or pays overnight spreads at 0:00 platform time on each trading day, and charges or pays tripple spread on Wednesday. The reason you get 3x the interest on Wednesday is that the spot forex market works in a 3 day settlement mode; and thus the weekend interest is picked up. As the currency markets involve a simultaneous buying or selling of one currency to another, the guiding interest rate difference for the currency pair you are trading determines the outcome. For overnight positions, you are either levied a positive swap (the swap rate is added to your trade) or a negative swap (the swap rate is subtracted from your trade). In theory, when you buy a currency with higher interest rate and sell a currency with lower interest rate, you are charged a positive swap. Likewise, when you buy a currency with lower interest rate and sell a currency with higher interest rate, you are charged a negative swap.

How is Swap Fee Determined?

A swap fee is the rate of the fixed leg of a swap as determined by its particular market and the parties involved. In an interest rate swap, it is the fixed interest rate exchanged for a benchmark rate such as Libor, plus or minus a spread. Because different brokerage platforms access connect different liquidity providers, swap fee on currencies will also vary. Eagles Markets is only responsible for receiving and paying swaps without any adjustments.

How to avoid paying swaps?

• Trade in direction of positive interest. You can go trade only in the direction of the currency that gives positive swap.
• Trade only intraday and close positions before the market closed.
• Open up a swap free Islamic account

ISLAMIC Account - Swap Free Account

The platform provides Islamic accounts on different conditions. Muslim Clients do not need to pay any overnight interest rates when trading any assets. Clients must however provide legal proofs documenting their Islamic belief during registration. They are also asked to use the Eagles Markets Islamic account interest-free scheme when using their account.

Swaps chart

Forex

Symbols Long positions Short positions
USDJPY-0.780/lot-2.590/lot
EURUSD-4.280/lot0.550/lot
USDHKD-23.090/lot-23.860/lot
GBPUSD-2.570/lot-1.490/lot
AUDUSD-1.410/lot-1.080/lot
EURNOK-49.390/lot-9.920/lot
USDCAD-2.200/lot-2.400/lot
USDTRY-282.906/lot-2.740/lot
USDSGD-4.450/lot-4.380/lot
EURCHF-1.270/lot-2.600/lot
USDSEK-12.120/lot-30.920/lot
GBPAUD-3.910/lot-3.230/lot
AUDCAD-2.110/lot-1.820/lot
CHFJPY-4.230/lot-0.030/lot
AUDJPY-1.000/lot-1.930/lot
GBPNZD-4.480/lot-3.940/lot
NZDCHF0.110/lot-2.730/lot
NZDUSD-1.480/lot-1.110/lot
USDCNH-61.380/lot11.120/lot
EURCAD-6.040/lot0.060/lot
EURJPY-3.690/lot-0.730/lot
GBPNOK-34.460/lot-30.330/lot
EURSGD-8.820/lot-2.180/lot
EURSEK-37.250/lot-17.230/lot
CADCHF0.420/lot-3.150/lot
SGDJPY-1.990/lot-3.360/lot
GBPCHF0.520/lot-4.750/lot
NZDCAD-2.180/lot-1.830/lot
NZDJPY-1.100/lot-1.900/lot
USDNOK-21.190/lot-25.740/lot
AUDNZD-2.460/lot-2.560/lot
EURAUD-6.300/lot-0.240/lot
USDCHF0.940/lot-3.890/lot
GBPCAD-3.840/lot-2.680/lot
CADJPY-0.940/lot-2.190/lot
GBPJPY-1.810/lot-3.010/lot
EURNZD-7.020/lot-0.690/lot
GBPSGD-6.790/lot-5.230/lot
USDZAR-238.320/lot86.448/lot
AUDCHF0.270/lot-2.830/lot
EURGBP-3.070/lot-0.110/lot

Commodities

Symbols Long positions Short positions
XTIUSD-13.810/lot8.270/lot
XBRUSD-11.660/lot6.320/lot
XAUUSD-4.590/lot-2.330/lot
GOLD-4.590/lot-2.330/lot
XAGUSD-4.924/lot-0.745/lot

Indexes

Symbols Long positions Short positions
US500-3.800/lot-15.400/lot
CHA50-11.704/lot-10.415/lot
UK100-4.101/lot-3.952/lot
GER30-6.843/lot-10.817/lot
HK50-9.798/lot-6.943/lot
US30-13.700/lot-18.600/lot
EUSTX50-1.732/lot-2.737/lot
CHH00-6.975/lot-4.650/lot
NAS100-8.700/lot-11.200/lot
JPN225-1.186/lot-1.293/lot
AUS200-4.435/lot-4.160/lot