Hi
Once again I have another question and I apologize in advance but if I place an order and thinking it will go up 80 pips but the first 2hrs it was going down 40 pips but soon after it went up pass my entry then up 80 pips. What losess do I get besides the brokers spread or commission charges?
You might be faced with overnight holding charges but it depends on your access to the markets. Also, if you close the trade for a profit, it will contribute to your taxable capital gains or income for the year, though whether you pay tax depends again on the type of your access to the market plus the tax jurisdiction you reside in.
Hi
So lets say I want to make 80 pips going up but on the first hour it goes down 60 pips and it decided to go up pass my entry point and gain 80pips after 3-5 hours. Do I lose 60 and 80 pips of charges or just 80 pips?
You only lose or gain the value of the pips when you close the trade. It doesn’t matter how long the position is down; if you close it when its up 80 pips, that’s what you get.
As long as your stop-loss was not hit along the way, all the ups and downs between your entry and your exit mean nothing. Your profit (in this case) is simply your exit price minus your entry price = 80 pips.
You mentioned 3-5 hours. The time is takes for price to reach your profit target does not affect your profit, unless (as tommor pointed out) you hold your position overnight, in which case you might incur a roll-over charge.
1 Like
I see that overnight charges is call swap. In my mt4 it shows 0.01. Now is this per 24hr or pips?
How much you win or lose depends on where it is when you close the trade, not what happens beforehand.
Other than that, it’s just rollover fees
exactly, otherwise nobody would make money for real