There is an advantage to trading in forex markets. They stay open 24 hours a day until the weekend. Then it starts all over again on Sunday. Also, there are various currencies that investors can choose from.
Having a lot of foreign currency to choose from can help traders make good decisions about forex trading. They can hit or miss, but there will be times when they will make good profits by taking a risk.
The three big markets for foreign trading are the countries of the United States, London and Asia. Since all three are in different time zones, of course, the investors will trade at different times.
In London, forex trading is the most active between the hours of 8:00 GMT to 22:00 GMT. The busier times are between 13:00 GMT to 16:00 GMT. During this time, there is an overlap from the London time to the United States time. Traders are very busy conducting trades during this time. Also, this is the time to conduct day trading if the trader wishes to do so.
There are sessions for forex trading in each of these three areas. The currencies that London uses are EUR, GBP and USD. These are the currencies that are the most active during the operating hours for forex trading in London.
The currencies that the United States uses are AUD, EUR, GBP, JPY and USD. These are the most active currencies used during the operating hours in the United States, which is usually between 13:00 GMT and 22:00 GMT. The session in the United States slows down around 22:00 GMT.
With the Asian session, the atmosphere is different. For the most part, the session is pretty quiet. The pairs move rather slow and day trading is really not an option here. However, there is some hope with the JPY currency, which is the only authentic currency that has some activity. Even then, it can still be slow unless something significant changes financially.
As you can tell from this article, the best times to trade in the forex markets are in the London and United States overlap session. It doesn't matter how the formula is done. Traders can get a better response during those times.
Since there are so many currency transactions, it's a bet that there will be plenty of traders looking to make a profit from foreign trades. A trader knows that they need to trade within those hours if they are looking to score financially from foreign markets.
Amin Sadaks is the leader in Forex education. Learn more about his Forex trading system on his website. You can also read some of his Forex Strategy articles.
Article Source: http://EzineArticles.com/?expert=Amin_Sadaks
http://ezinearticles.com/?The-Best-Times-For-Forex-Trading&id=1915402
Posts
Post a Comment