IS IT NECESSARY TO PAY COMMISSIONS AND OTHER PAYMENTS AND DUES?

The most reputable dealer companies charge no commissions for transactions executed by their clients. Others charge some commissions, but usually not very high ones. Personally, I cannot excuse some dealers charging so-called storage fees. In the financial world, the client is usually
paid when he stores his money—not the dealer. Reputable dealers transferring an open position to the following day execute the rollover operation in accordance with the current LIBOR rates and reflect it in a daily statement.
Depending on the currency pair and direction in which the position was opened at the moment of its transfer to the next day, the client could actually win as a result of the transfer. A certain amount would be added to his account just for holding the position open for more than one day.
Other dealer companies do not bother themselves with such calculations but simply charge the client for the interest on the position transferred to the following day. There are numerous discussions about the possibility of holding two opposite positions open when both long and short positions exist simultaneously. At a dealer’s statement in such case, both positions are shown to exist in reality. Each one generates profit and/or loss, and in such form they could be transferred to the following day. I have met a few traders whose manner of trading envisaged such a condition or who used it as an important part of their trading strategy.
I think such arguments are useless and senseless. The positions cannot voluntarily be divided into new and liquidation—depending on a trader’s will. The market functions in accordance with certain rules, and it is arranged in such a manner that positions of the opposite tendencies for the same currency pair and of the same size are offset automatically. The spot part of the FOREX market provides the offset and self-liquidation of all open positions by the end of each trading day. At the beginning of the next day, only those positions are recovered that had not been offset due to the lack of opposite (with opposite sign) transactions of corresponding size. For example, if the trader during the day executed USD/CHF transactions for the total amount of $600,000 to buy and $400,000 to sell, then the long USD/CHF position for the remaining $200,000 would be transferred to the next day. As you can see, this is accompanied by the offset of the opposite positions, and the corresponding gain/loss was deposited into or deducted from the trader’s account. There is a simple reason that some dealers allow and even encourage their clients to keep opposite positions for longer than one day. A dealer company can charge interest for practically nonexisting positions. A dealer company can also create the illusion for the trader that the trader is present at the market and should find a way out of the situation and liquidate
both opposite positions, whereas, in reality, they are nonexistent.
Many traders consider the possibility of keeping these opposite positions an advantage. This advantage allows them to hedge (or lock) their losing trades and to limit their losses in case the market moves against their initial position. At the same time, this possibility creates the illusion that loss of money is not final and that the money could be returned if the “right” way out of the situation was found. If you cannot stand the psychological stress of trading without such useless “placebo” methods, then it is better to reconsider further participation in this business.