Called carry trades and yes, it is very common. Nevertheless, it is not nearly as straightforward as you might think.
Called carry trades and yes, it is very common. Nevertheless, it is not nearly as straightforward as you might think.
yeah. . When the prices move against you, then the relative small interest un profit won't help!Originally Posted by ;
Has anybody used interest earned on a position to earn significant money? For instance, entering a very long term, relatively safe trade (for instance, buying EUR/USD once it bottoms out, and holding it for 6 months) to gain substantially from the interest rate?
Or is this a waste of time/stress/money?