Rollover in Forex
A clear definition of Rollover, with practical context for reading markets and making better trading decisions.
Definition
Definition
Rollover is the process applied when a forex position is carried beyond the broker's daily cutoff, shifting the trade to the next settlement day and applying the relevant financing adjustment. The result can be a debit or a credit depending on the instrument and broker terms.
How It Works
Timing can change market conditions and financing. A position held across a cutoff or a transaction with two settlement dates can behave differently from a same-session trade.
Why It Matters
Recognizing the timing term helps you understand why a position, fee, or market condition may change even when your directional view has not.
Key Takeaway
Rollover is the process applied when a forex position is carried beyond the broker's daily cutoff, shifting the trade to the next settlement day and applying the relevant financing adjustment.
Practical forex example
Why Rollover matters
Understanding Rollover helps traders interpret market information, plan decisions, and manage risk with more context.
Related forex terms
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