Trade Silver Online
NSFX offers Silver trading to all individuals. Silver is mainly traded against the USD And EURO and its symbols are XAG/USD OR XAG/EUR. The symbol XAG is the international standard code for Silver. As with all precious metals Silver traders may experience times high volatility as the market is affected by events seemingly unrelated. Silver itself, has gained more attention in recent years with its low price but stable long term outlook. As a result, Silver speculation in today’s market is considered smart portfolio diversification.
For thousands of years, Silver has been considered a precious metal, that has served as a means of monetary exchange across civilizations and empires. Since the abandonment of the silver standard towards the end of the 19th Century, silver has lost its role as a popular legal tender in most developed countries including the United States. By 2009, the primary market demand for silver has been for industrial applications (40%), with jewellery, bullion coins, and exchange-traded products making up the rest.
Trading Silver with NSFX
NSFX Ltd. recognizes how important trading Silver is to any investor who takes the market seriously. As a result NSFX Ltd. understands how important it is to provide the trader with the best possible market conditions.
- Fast Execution & Tightest Spreads Available.
- Trading Silver via Multiple Platforms (Web, Desktop, Mobile).
- Balanced Leverage and Exposure , 1:100 , 1% of transaction value.
- Flexibility of trading fixed spread Silver or variable ECN spread
Silver Trading Conditions
0.1 Lots = 100 ounces
|Leverage||ECN Leverage||Lot Size||Min. Trade||ECN Min. Trade||Roll Sell||Roll Buy|
|SILVER: XAGUSD||5||4||1:100||1:100||1,000||0.1 Lots||0.1 Lots||-1.2375||0.7500|
|SILVER: XAGEUR||5||4||1:100||1:100||1,000||0.1 Lots||0.1 Lots||-0.9750||0.7500|
Silver Trading Hours
Silver is traded from Sunday at 23:00 GMT to Friday at 20:00 GMT. It is important to note that there is a daily break in Silver trading services between 21:00 GMT and 22:00 GMT, market trading in Silver resumes at 22:00 GMT. During the break period, no trading, or placement of orders will be possible.
Margin Requirements for Silver Positions
In a standard 1:100 leveraged trade, 1% of the transaction value must be set aside to cover the margin requirement. As a result, for every $1 in your account you are able to control $100 in the market.
Silver Trading Example
Explanations aside, it’s essential to see how Silver positions look in the actual market. The most straightforward way is by going through the calculations involved
Let’s take a 1000 ounce XAG/USD (1 Lot) position bought at a market price of $32.00 per/ounce. The USD value of the position will be: 1000 ounces X $32.00 = $32000 With a margin requirement of 1% (1:100 leverage) the result will be $320 required to open the position.
Now, let’s take a 100 ounce XAG/EURO (“Mini-Lot” or 0.1 Lot) position bought at a market price of €25.00 per/ounce. The EURO Dollar value of the position in EUROs: 100 ounces X €25.00= €2,500. With a margin requirement of 1% (1:100 leverage) the result will be €25.00 required to open the position.
Silver CFD Rollover (Swaps)
In both commodities and foreign exchange markets a rollover/swap, is the interest that is added or deducted in order to secure an open position overnight. Rollover/swap rates are calculated as the overnight interest rate differential between the two currencies on which the position is held comes due, depending on the position type (Buy (Long) / Sell (Short).
It is important to consider the following aspects of rollover/swap charges:
- Rollover/Swaps are charged on client’s Forex accounts only on the positions kept open into the next forex trading day
- The rollover process begins at the end of the US market trading session.
- The Silver rollover/swap rates above are calculated and based on USD accounts per 1 standard lot
- The rollover/swaps are calculated and applied on every trading night. On Wednesday night rollover/swaps are charged at a triple rate(please read through explanation below)
Some additional information regarding Precious Metal Rollover/Swaps
At NSFX Ltd. rollovers are dealt with on a "spot" basis only. Meaning that all positions are settled two business days from inception, as per market rules. NSFX will not facilitate actual physical delivery of either precious metals/currency. As a result, all positions that are open from 23:59:45GMT to 23:59:59GMT (Server time) are rolled over to a new value date. These trades are then charged or credited the relevant rollover as shown in the table above.
Very Important: When an open trade is rolled over from Wednesday to Thursday on trade, the new value date shifts to Monday of the next week. As a result, the rollover charge on Wednesday evenings will always be three times the value shown in the above table.In general it should be understood that in the case of factoring in weekends and holidays, the rollover/swap is multiplied by the number of days of the rollover.