Forex glossary
What is a carry trade?
Buying a high-interest-rate currency against a low-rate one to earn the positive swap, as well as any price gain.
Definition
Carry trade: Buying a high-interest-rate currency against a low-rate one to earn the positive swap, as well as any price gain.
In context
The carry trade means buying a high-interest currency against a low-interest one and earning the swap every night.
From the lesson The Carry Trade.