– An order to buy or sell a specific currency pair, which is to be transacted immediately, at the currently quoted price. Market order trades are usually executed instantly.
Limit Orders – A resting order to buy or sell at a more favourable price than the current market price.
Stop Loss Orders
– An order that will close out your position at a less favourable level than the current quoted price. As a rule, sell stops are triggered at our bid price, and buy stops are triggered on our offer price. Where the market gaps through the requested price, the stop is filled at the next best available price.
One Cancels the Other Orders (OCOs)
– These are order types that attach two exit orders so that, when either order is executed (or removed), the other is automatically cancelled.
If / Done
– As the name implies, If/Done orders consist of two entry orders. If (and only if) the first entry order is executed, will the second entry order be placed.
If /Done OCO
– This order is very similar to the If/Done order, except that the “Done” part of the order consists of an OCO order. This order is meant for creating an entry order, which if executed, would place a stop and limit.
Under normal circumstances all orders/trades are only transacted via your trading platform.
We run an end of day process, where all positions held open during that time will be debited/credited depending on the interest rate differential between the currencies you are trading.
Example: For AUD/JPY, the interest rate differential is the difference between short-term Australian interest rates and short-term Japanese interest rates. If Australian interest rates are 5.0% and Japanese interest rates are 0%, the interest rate differential is 5.0% (5.0% - 0%). This means that if you were to sell AUD/JPY, you would have to pay 5.0% of the notional amount of the contract per year to hold the position.
On a position of AUD$10,000 you would have to pay approximately AUD$500 to hold the position for one year. This translates to approximately AUD$1.37 per day per for holding the AUD/JPY position ($5,000/365).
If you took the opposite position and were to buy AUD/JPY for AUD$10,000 you would receive AUD $1.37 per night. This amount is then converted back into your base currency. See our Back to Base FAQs for more information