Forex trading has the nature of a timely and internationally. It is important for traders to know the time-time key in trading in order to produce the optimal benefits. Basically, the market has a different character. Certain currency will usually be most active when marketnya are open. For example, pair GBP indeed can be traded for 24 hours, but tend to be very active at the time of the opening of the market in London.Meanwhile, JPY pasagannya and will more be traded at the time of the opening of the Asian markets or Tokyo.
time forex trading
The time of opening of the forex market are as follows:
London starts at 3 am to 12 noon US time (around 35% of the total volume of transactions)
New York began the hours of 8 am to 5 pm US time (about 20% of the total volume of transactions)
Sydney begins 5 pm till 2 a.m. U.S. time (around 4% of the total volume of transactions)
Tokyo starts at 7 nights up to 4 hours in the morning US time (about 6% of the total volume of transactions)
The above information can be utilized in several ways. At certain hours it sometimeshappened that led the enlargement of liquidity increases and price volatility will bea little difficult to perform the execution order. There are also the hours in which thespread widened so the take profit obtained by the traders are less than optimal.
Between the hours of 8 am until 11 pm US time, the two largest markets (London and New York) will experience an overlapping (overlapping). The 3-hour time period isthe busiest time for trading. Every day, the trading results have always been different and there is no guarantee that one time a trader will receive the same level of profit consistently. The existence of overlapping session in London and New York, traders can take advantage of the opportunity to enlarge the daily profit because of the large price movements here can bring a lot of profit in an instant.
There is also a session of overlapping between sessions in Tokyo and Sydney. But the session was not crucial overlapping se-New York and London, because trading volume significantly will occur at the time of the passing of the London session and the opening of the US market.
When The Movement Of The Market Is Less Active
Technically the forex market never experienced closing. But the big banks always Transact will be off on weekends. The trade volume was automatically on the weekendwill be very small compared to other days. Active or whether the price movement is largely influenced by the fundamental data that may occur during the weekend.
At the time of the liquidity is very small and almost no price movement so that it will be difficult to turn a profit. The difference of conditions and place of the making the most of the trader let open positions over the weekend while others will close all open positions before 4:00 GMT on Saturday morning.