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What a Trade Really Costs
Every trade pays something before it moves. This course finds each cost, puts a number on it, and adds them up.
- Who it is for
- Anyone whose account shrinks on days they thought they broke even.
- Before you start
- First Steps in the Market, or the same knowledge.
Opens with Premium, or buy the course on its own.
You will be able to
- Name every cost a single trade pays, in the order it pays them
- Work out in money what the spread costs you on a given lot size
- Work out what holding a trade overnight, and over a week, costs
- Explain why a fill can come at a worse price than the one you clicked
- Read a contract specification and find the costs written in it
- Add up the true cost of one round trip before you take it
14 papers
A short quiz after every paper; the next paper opens when you pass it.
Unit 1
The cost you pay first
- 01What Is the Spread6 min
- 02How to Calculate What the Spread Costs You5 min
- 03What Is a Commission6 min
- 04What Is an ECN Broker6 min
Unit 2
The cost of holding
- 05What Is a Swap or Overnight Fee6 min
- 06How to Calculate Swap Cost5 min
- 07What a Week-Long Trade Costs5 min
- 08What Is a Rollover5 min
Unit 3
The cost of a bad fill
- 09What Is Slippage6 min
- 10What Is a Requote6 min
- 11What Is Liquidity6 min
- 12How to Reduce Slippage Risk5 min
Unit 4
Adding it up