Forex trading is all about making big money. Some investors have found it quite easy to make a large amount of money as the forex market changes daily. Forex, is the foreign exchange market. Forex trading takes place through a broker or a financial institution often where you are able to purchase other types of stocks and investments.
Forex markets trading by investment management firms are the companies you can trust with your money. You want to find a company that has been dealing with forex trading since the early seventies, and not someone just new on the block so you get the most for your hard earned money. It is important that you beware of companies that are popping up online, and often times from foreign countries that are stating they can get you involved in the forex markets and trading. Read the fine print, and know whom you are dealing with for the best possible protection.
Alternatively, if you plan on holding a short position in the higher interest rate currency and a long position in the lower interest rate currency overnight, you should then expect to pay the rollover fee to your forex broker.
Those traders who intend to hold positions over a long time frame - such as trend traders or carry traders for example - are especially exposed to the costs incurred by this rollover spread if they just allow their retail forex broker to roll their positions out until the next day automatically every night.