XMTrading: Is carryover trading prohibited? Swap points and account trading time points


XMTrading allows carryover trading, and the article explains the points to note regarding the time when swap points are granted. XMTrading is a fairly popular company in the world. There are quite a lot of users, and trading styles vary from short-term trading to long-term trading. This article is about swing trading, which is common for long-term traders. Carryover trading is one of the trading methods where you hold a position from the weekend to the beginning of the week and make a profit when the window opens wide, but is it prohibited in XMTrading?

Carryover trades are allowed

In conclusion, XM does not completely prohibit holding positions from the weekend to the beginning of the week. It means that it is possible to hold a position placed before Friday as it is until Monday as a “carryover trade”. If it is not possible to hold a position over a week, please be assured that FX trading itself will not work.

However, if certain conditions are met, carrying over trades may result in forced reduction of maximum leverage or forced account freezing. Please refer to the article below. Failure to do so may result in your account being frozen.

Swap points will be generated due to carryover.

Swap points will always occur when you carry over a position. Swap points are profits and losses that occur due to the difference in policy interest rates in each country. From Wednesday to Thursday, swap points will be triple the normal amount. Depending on the lot, you can receive profits in the case of positive swaps, but on the contrary, you have to pay swap points as a cost for negative swaps. This always happens with overseas FX companies. We recommend the following article, which summarizes the calculation method and introduces the information in a list.

Window-filling trades are prohibited

In FX trading, it is said that the probability of the phenomenon of “window filling”, in which the open window is filled, occurs more than 80%. Many traders are paying attention to window filling because it can make a profit with a high probability if used well. On the other hand, it seems that the window filling trade is not legitimate for XM, and some measures will be taken by the department in charge. Worst case profit cancellation, withdrawal stop, account freeze. If you’re worried, check the XM precautions in advance in the article below. On the other hand, windows are allowed to open.

What is window filling?

The phenomenon of filling in the price range opened by opening a window is called “window filling.” Window filling does not necessarily happen every time, but it is said to occur more than 80% of the time. Of course, some people choose to wait until the morning of Japan time instead of carrying it over as described above, and order new products to fill the window. This will cost you more fees, but you will also save more money. There is no risk of loss cut. By the way, the start time is different for summer time and winter time. Depending on the broker service of the operating company, there are cases where this is prohibited.

why are the windows closed?

There is a common understanding among FX traders that “open windows will most likely be filled”. Therefore, when a window opens, many traders hold positions in the opposite direction of the window in order to make a profit. As a result, a trend opposite to the direction of window opening occurs and window filling occurs. Professionals with a lot of experience and knowledge aim for the timing based on the conditions of the next day on weekdays. If you use the basics enough, you can make a profit.

What is window opening

When trading FX, you may see gaps between candlesticks. This gap is called a “window” and is also sometimes called a “gap.” The appearance of this window on the chart is called a “window opening,” and it is said to have a high probability of occurring on Mondays when major markets open. If you carry it over until morning, your margin will decrease and you risk losing money. This could cause a big hit to your profit and loss and cause problems.

why do the windows open?

Many of you probably know that XM’s FX trading is official and can be done 24 hours a day, but on Saturdays and Sundays, trading hours are basically closed. If there is a price movement outside of these trading hours, a “window” will occur as soon as the market opens. This is a common phenomenon compared to any FX company. Whether buying or selling, prices fluctuate during holidays. If you actually look at the latest screen of the tool, you will see that it is completely empty.


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