How do I close out a trade

• 6:47 AM
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Retail forex transactions are
normally closed out by entering
into an equal but opposite transaction
with the dealer. For example,
if you bought Euros with U.S. dollars
you would close out the trade
by selling Euros for U.S. dollars.
This is also called an offsetting or
liquidating transaction.
Most retail forex transactions
have a settlement date when the
currencies are due to be delivered.
If you want to keep your
position open beyond the settlement
date, you must roll the position
over to the next settlement
date. Some dealers roll open positions
over automatically, while
other dealers may require you to
request the rollover. On most
open positions, interest is earned
on the long currency and paid on
the short currency every time the
position is rolled over.The interest
that is earned or paid is usually
the target interest rate set by the
central bank of the country that
issued the currency. If the interest
rates of the two countries are
different, then there is usually an
interest rate differential which
will result in a net earning or payment
of interest.This net interest
is often called the rollover rate. It
is calculated and either added or
deducted from the trader's
account at the rollover time of
each trading day that the position
is open. You should check your
agreement with the dealer to see
what, if anything, you must do to
roll a position over and what fees
you will pay for the rollover.