Opened my account and im currently into my first ever futures trade. I got a question regarding the FX conversions, this is new to me and im currently just running 1 algo on SP500 ($) and my deposit was registrered as € and my base currency is NOK. Ive recieved 20 emails during the day of some sort of FX trades going on.
- chatgpt is trying to help explain why this is happening, the balance in any currency cannot go negative and if it does, IBKR will buy usd/eur/nok to make sure each balance is never negative. Im not really sure i understand this, if im holding 1 trade on MES (micro sp500) then why am i trading eur/nok? i converted roughly 50% of my account to USD in the hopes that i now hold alot of USD and according to chatgpt it should reduce the amount of currency stuff going on, but im still seeing EURD/USD things happening in my IBKR activity.. no idea why.
Do i want to avoid this FX swapping? Does it matter at all to me? I can send the emails directly to spam so its not a huge issue but I honestly dont understand if im winning or loosing anything, or if it matters at all, on all the FX conversion that is going on.. If i want to avoid it, how do i do it? change base currency?
- Second topic i need some info on is regarding the roll-over to new contracts, ive started the algo on the 0626 contracts, i think ive understood that you need to switch contracts before the volume dries up on your current contract and the volume picks up on the new contract. Im not sure how i feel about this.. will it give me positive results or horrible results when it comes time to switch contracts.. like what do i do if im in a trade and we are getting close to rollover.. do i just close the trade. do i open a new one manually to “continue” the algo even tho its manual? Do i just say fuck it and close it and start algo on new contract? Do i use IG as my “master” to say when its safe to start the algo on the new contract (aka NOT when its in a trade currently)… Many questions, how do you guys deal with this?
