Summary:
Allowed | You are allowed to hold trades overnight and over the weekends.
This is to cater to swing traders who usually capture moves that last for more than a day. This is also to give flexibility for traders to adapt based on the market conditions and capitalize better.
However, you must be aware of:
Widened spreads on Asia open
Wider than usual spreads on Monday Asia Open (over the weekend)
Swap rates (not applicable to non-swap accounts)
At FundingTraders, we understand the importance of flexibility for traders to adapt to market conditions and maximize opportunities. Therefore, you are indeed allowed to hold trades overnight and over the weekends, accommodating the needs of swing traders who seek to capture longer-term price movements.
While this flexibility is advantageous, it's vital to remain aware of specific considerations:
Widened Spreads on Daily Rollover: When the Asian market opens, you may encounter widened spreads. It's important to factor this into your trading strategy and be prepared for potential changes in market conditions during this period.
Wider than Usual Spreads on Monday Asia Open (Over the Weekend): Over the weekend, market dynamics can lead to wider spreads when trading resumes at the Monday Asia Open. This is a typical occurrence and should be considered in your risk management plan.
Swap Rates: Please note that swap rates apply. Be sure to review the terms and conditions related to swap rates if they are relevant to your trading account type.
By staying informed about these aspects and incorporating them into your trading strategy, you can make more informed decisions and effectively capitalize on market opportunities while holding trades overnight or over the weekends. At FundingTraders, we aim to provide the support and flexibility necessary for traders to thrive in the dynamic world of financial markets.