A swap in forex refers to the interest that you either earn or pay for a trade that you keep open overnight. There are two types of swaps: swap short (used for keeping short positions open overnight) and swap long (used for keeping long positions open overnight). They are expressed in pips per lot and vary depending on the financial instrument you are trading on ThorFX.
The Swap Short fee can be calculated using the following formula:
One Point * Trade Size * Swap Short in Points.
Example for EURUSD: 0.00001*100,000*5.9166= 5.9166 USD
This means you would earn $5.9166 in swaps for keeping 1 lot of EURUSD overnight.
One Point = 0.00001 in EURUSD as point is the last digit in the price.
Trade Size = Lots * 100,000(Contract Size) = 100,000
Swap Short in Points = 5.9166 on a Sell position on EURUSD.
The Swap Long fee can be calculated using the following formula:
One Point * Trade Size * Swap Long in Points.
Example for EURUSD: 0.00001*100,000*-11.44605= -11.44605 USD
This means you’d pay $11.44605 in swaps for keeping 1 lot of EURUSD overnight.
One Point = 0.00001 in EURUSD as point is the last digit in the price.
Trade Size = Lots * 100,000(Contract Size) = 100,000
Swap Long in Points = -11.44605 on a Long position on EURUSD.
You can check the swap values for different instruments on your ThorFX Tradelocker account by viewing the trade section, where you will see all the trade parameters that you need:
Please note that on Wednesday the swap is 3x as it is charged for the coming weekend.
