I’ve been wondering how other swing traders handle leverage when holding positions for several days or even a few weeks.
A lot of discussions focus on risk management, entries, exits, and position sizing, but I don’t see many people talking about the financing costs of leveraged positions. If a trade takes 5–15 days to play out, those costs start adding up.
I’m currently in a trade that’s been open for 7 days, and it got me thinking about whether leverage is really worth it for swing trading compared to simply using a larger cash position and avoiding the ongoing fees.
For those of you who regularly swing trade with leverage, how much attention do you pay to financing costs? Do they materially impact your profitability over time, or are they negligible compared to the average move you’re targeting?