Technical Indicators in the Forex A typical technical indicator applied to a chart uses one to three pieces of information: time, price and/or volume. Another unique factor in forex trading is Interest, or carry. Each currency pair has an interest payment or charge associated with holding the position long by charting in the Forexm is a primary tool of use by the forex trader. Combined with solid fundamental analysis, it give traders insight into trade time Price patterns.
Yes the mighty power of interest. Let me explain something to you on that. One most brokers will charge a fee so to speak where you get cashed out and buy back in. Now you just paid a spread while they made your money. funny they all do this when interest is due (Just an observation on the brokers I have used). The ones that dont there spreads are high enough you may make a little but not enough to get in a trade. Unless you are really good and can buy in at market close then sell right after. Moet of the time the spread for those transactions are higher than what you just gained. Oh but what if you trade commissioned based? I have a broker that I can do that to. Still not worth the risk. Now If you are in a trade where interest is in your favor and your making money in a trend. Ok its nice but not a reason to get in a trade even if the market is sideways. Unless someone knows something I dont (in witch case school me please please please). Good luck
You’re right, Bob, carrying a trade for the sake of earning an infinitesimal amount of interest isn’t worth it.
Although it comes in handy when riding a trend anyway … a few cents of ‘free money’ never hurt, do they?
O.