Trading Foreign Exchange 24/7 – Is This Indeed Possible?
Beginning from Monday morning in Australia to Friday afternoon in NY, the forex market is active. All day and night everywhere on the globe, forex is traded.
Yet it is not a 24/7 market as it does stop during weekends. It’s more like 24/5.
forex ambush
If you seek to know the precise times that the markets open and close, you have to take time zones into consideration. By using UTC, it becomes an undemanding task.
This is Universal Coordinated Time, erstwhile called as Greenwich Mean Time. It is the precise winter time at zero longitude on the globe that is Greenwich, London.
Hence the standard foreign exchange market operating hours would be starting from Sunday 22:00 UTC to Friday 22:00 UTC. This is 10 pm in the United Kingdom in winter time.
New York is 5 hours behind the UK so the worldwide currency market begins and closes at 5 pm Sunday/Friday in New York, 2 pm on the US west coast, 11 pm in Germany, 8 am Monday/Saturday in Sydney.
forex automoney
In short, the major national forex markets have the the below cited hours:
London: 8 am to 5 pm UTC Sydney: 10 pm to 7 am UTC Tokyo: 12 midnight to 9 am UTC New York: 1 pm to 10 pm UTC
On the other hand, in Eastern US time or EST:
Sydney: 5 pm to 2 am EST Tokyo: 7 pm to 4 am EST London: 3 am to 12 noon EST New York: 8 am to 5 pm EST
It’s apparent here that markets do work 24 hours a day in a global sense.
However, this does not consequently mean that trading will be good at all of these periods. When a big market initiates in its morning, price movement is quite unreliable and wayward.
Many traders will stick out of the FX market for up to an hour four times a day when the financial markets are getting started in these major cities.
forex megadroid
So in a sense you may trade 24 hours a day from Sunday night to Friday night. Automated software in the shape of a forex robot can even make this physically conceivable.
At any rate, a careful trader will choose his times and will not be active during all of the forex market hours.
Note: Foreign Exchange trading is speculative, can end up in substantial losses, and is not appropriate for everybody.
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