Carry strategies: how do you build one properly?

A carry strategy earns the interest difference by holding a high-yield currency against a low-yield one — and survives on risk rules, because carry unwinds violently. The swap is the income; the stop discipline is the strategy.

How do you construct one?

• the pairs and holding periods you use
• the unwind signals that make you exit
• how you account for swap when sizing

The carry trade guide covers the mechanics and the unwind risk.