When are financing rates applied to an account? forex financing and rolling

When are financing rates applied to an account?

Even though forex trading is open nearly 24 hours a day when the market is open, the close of the trading day is considered 5 p.m. ET. Any position open at that time will be subject to financing.
At Charles Schwab Futures and Forex LLC ("Schwab Futures and Forex"), financing credits and debits are typically applied to the account sometime between 5:15 and 5:30 p.m. ET. Financing rates are calculated using 365 days, so weekends and holidays are counted toward the financing calculation.
In general, on Wednesdays, financing calculations will be three times ("3x") the normal daily financing calculations, because Wednesdays are typically used to account for weekends. However, there are some exceptions to the 3x financing on Wednesday. Bank holidays, for example, may alter the financing schedule. A forex broker's schedule should display how and when financing rates will be applied to an account.

Finding financing rates for a currency pair

Schwab Futures and Forex clients can view the financing rate for each currency pair rate on the thinkorswim® trading platform. On the MarketWatch tab, select Financing Rates. This brings up a grid showing the long and short rates for each currency pair listed on thinkorswim (see below). Note: These rates are a sample guideline. Actual rates may vary.


Source: thinkorswim

For illustrative purposes only.

Bottom line on forex financing and rolling

It's important for traders to remember forex trading involves leverage and carries a high level of risk that isn't suitable for all investors.
Additionally, financing rates can change daily and are subject to various factors. Traders planning to hold positions overnight should be prepared for financing rates and review them regularly.