Best Times To Trade Forex

Ok, now it’s time to set my alarm clock to some important times here. I’ve missed alot of opportunities trading Forex because I did not have these times imprinted on my mind! We should all know these times like the back of hour hands if we want to be serious Forex traders. I’m sure professional traders have a certain time period at which they trade, negating opportunities in other times, but sticks to a strict Forex method that includes not straying from your plan. If we are going to enter a respectable number of trades that are winners, we need to enter trades at times when we are more certain the pair has enough strength or weakness to hit our target. Therefore it is only common sense we should enter our trades when the trading volume for the pair or pairs is the highest. During the times when the major world markets overlap, we find the biggest increases in volatility (relatively speaking) and are most likely the most opportune times to trade Forex.

At any given time, somebody somewhere in the world is buying and selling currencies. As one Forex market closes another Forex market opens. Market hours frequently overlap, and Foreign Exchange continues around the clock with little respite.

Here’s some interesting facts I’ve collected about Forex hours. Forex is 24 hour market and it starts from Sunday 5pm EST through Friday 4pm EST. Rollover (or swap) is calculated each day at 5pm EST.Forex Trading begins in New Zealand, followed by Australia, Asia, the Middle East, Europe, and America The US & UK account for more than 50% of the market transactions. There are three Major Forex markets: London, New York, Tokyo. Nearly two-thirds of NY activity occurs in the morning hours while European markets are open. Forex Trading activity is heaviest when major markets overlap.

Forex markets are open worldwide with the following schedule:

• New York Market trade times: 8am-4pm EST
• London Market trade times: 2am-12Noon EST
• Great Britain Market trade times: 3am-11am EST
• Tokyo Market trade times: 8pm-4am EST
• Australia Market trade times: 7pm-3am EST

Forex markets have also these timing characteristics:

Tehnically, Forex worldwide trading begins in New Zealand at 4PM EST, followed by Australia, Asia, the Middle East, Europe, and the United States. Since nearly two-thirds of NY activity occurs in the morning hours while European markets are open, this is probably the most active time to trade. Too bad most people around where I live are dead asleep.

Forex market volume fluctuates all day, but certainly expereinces a peak when the Asian market (which includes Australian & Kiwi markets), the European market and the U.S. market are all open simultaneously, even if it is for only a few minutes. More notes on trading hours coming soon. his article and topic also tie in closely with my questions on which Forex Pairs are the best to trade because of volatility.