By ticking the "Carry Trades over Weekend" box you can have full control of your positions, determining which ones you would like to leave open over the weekend. Positions that have been ticked will be carried over and will remain open once the market resumes activity Sunday evening.
To limit the risk involved in carry trades, caused by the weekend break, eToro only allows positions using a leverage of up to 1:100 to be carried over.
Due to potential market gaps, 50 pips from your position’s margin will automatically be allocated to guarantee portfolio protection and prevent your account from going into negative balance over the weekend. This unique feature enables full account control, minimizing the risk on your overall portfolio, from the weekend events.
Scenario 1:
In this example, we bought EUR/USD at 1.3159 using 1:100 leverage - our stop loss is set at 1.3059.
Clicking “Carry Trade Over Weekend” will automatically modify the Stop Loss to 1.3109, meaning 50 pips will be allocated to portfolio protection in the case of market gaps.
Scenario 2:
If the market approaches within 50 pips of your Stop Loss, clicking “Carry Trade Over Weekend” will not modify your Stop Loss.
Using the same example:
We bought EUR/USD at 1.3159 using 1:100 leverage - our Stop Loss is set at 1.3059. If the market reaches 1.3109 or below, clicking “Carry Trade Over Weekend” will not modify your Stop Loss, and it will remain at your original Stop Loss at 1.3059; this is due to the position having insufficient margin to accommodate changing the Stop Loss.
Important notes:
By clicking “Carry Trade Over Weekend,” a pop up will appear on your screen with the new Stop Loss rate, for your approval. For
Carry Over Weekend Fee information, please see next article.
The 50 pips allocated to portfolio protection are not included in your Stop Loss, and in the case of no market gaps, will be returned to your balance at the positions closure.
How to use the "Carry Trade Over Weekend" button
Many traders are not always sure if they want to hold their positions over the weekend, therefore we allow you to have full control over your positions.
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Determining a "Carry Trade Over Weekend" when opening the position:
By simply clicking on the button under "Open Trade" you can determine that the position stays open over the weekend.
Important notes:
"Carry Trade Over Weekend" is disabled by default. If you would like to enable the option, simple set your risk level and Stop Loss according to the requirements in the table above.
It is important to remember that in order to hold a position over the weekend your risk level must be 1:100 or lower.
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Determining a "Carry Trade Over Weekend" once your position is already open.
If you have positions open and you wish to hold them over the weekend, simply tick the information box, located under your open trades.
Important notes:
During hours when the markets are closed, positions cannot be modified.
When choosing "Carry Trade Over Weekend" on an open position, your Stop Loss is automatically adjusted by 50 pips to prevent losses. Make sure the new Stop Loss matches your strategy for this position.