Definition of Rollover
The process of extending the settlement date of an open position to the next trading day. Rollover typically occurs at 5:00 PM EST and involves swap charges (or credits) based on interest rate differentials.
At a glance
Example
Example: a 1.2-pip spread plus commission equal to 0.6 pip is ~1.8 pips of entry cost. Put “Rollover” into the R:R math before judging a strategy.
Common mistake
Common mistake: ranking brokers on teaser “from” prices without measuring “Rollover” on the same session and symbol.
Professional tip
Tip: log “Rollover” at London–New York overlap and at quiet hours — the gap shows true strategy cost.