Video: How Does a Swap Rate Works in Forex
A swap rate is the underlying interest rate associated with the currencies traded in a currency pair. It is essentially a debit or credit paid or earned as a reflection of the varying interest rates applicable to the currency pairs traded. What is a swap rate in Forex, how are the swap rates determined and how are swap rates applied to on your trading account?
Part of our multimedia library, learn in this video tutorial what is a swap rate in Forex and how it works on your overnight open positions.