Forex Market Hours


Presentation Description

All the markets of the world operate in different time zones and so Forex trading hours differ accordingly.


Presentation Transcript

Forex Trading Hours Around the World:

Forex Trading Hours Around the World All the markets of the world operate in different time zones and so Forex trading hours differ accordingly. Learn ForexTrading

Different Time Zones:

D ifferent T ime Z ones Forex trading is fast emerging, as a lucrative business market for one and all. Today, Forex trading is not just limited to veteran businessmen and traders who know the ropes of the markets and currency-changes. Forex trading has widened its reach and so it is easily doable by anyone who has a keen eye for markets and the fluctuations. All the markets of the world operate in different time zones and so Forex trading hours differ accordingly. There are three types of trading sessions – the American, European and Asian.

24/5 Business Hours :

24/5 Business Hours The Forex market is the largest financial setup in the world. It witnesses trading worth $4 trillion every day. In essence Forex trading is operational 24/5, however owing to the differences in time zones, the trading hours vary. For example, in New York City, the trading commences at 8am and closes at 5pm. Whereas, the trading hours in Tokyo are between 3am to 7am. See the vast time-difference? Since Forex trading does occur from a centralized location, the trading and all the communication between participants takes place via electronic communication networks (ENCs) and telecom networks all around the world.

The US Trader’s Perspective :

The US Trader’s Perspective To favor the US trader’s perspective, the Forex trading hours are as follows: -          New York open 8:00 am to 5:00 pm EST -           Tokyo open 7:00 pm to 4:00 am EST -          Sydney open 5:00 pm to 2:00 am EST -          London open 3:00 am to 12:00 noon EST

Keeping Tabs on Currency :

Keeping Tabs on Currency Forex trading has assumed great importance since Central Banks began to show reliance on foreign-exchange markets in 1971 – the time when fixed currency markets were dismissed for good, because the gold standard dropped. In today’s time, world economies and their stability are largely dependent on currency-trading. Central banks of countries are always in the running to seek and stabilize their currency by trading in the opening market at a relative value against other world currencies.

The Dollar Goes Around :

The Dollar Goes Around The fact that Forex Trading is active 24 hours automatically means all currencies of the world are continuously in the trading loop around the world – even after a country’s trading session has ended. For instance, when a trader learns the US dollar has closed at a certain rate, it simply means that that was the dollar’s rate when the New York markets close. However the US currency continues to be traded around the world even after New York’s markets called it a day.

Time of Maximum Gain :

Time of Maximum Gain In order to register maximum gains from the cycles of the Forex Trade, the US trader needs to keep an eye on various factors. For one, from actual trading figures, the trader can see that in the middle of the week – Tuesdays and Wednesdays – the movement of all major currency pairs reaches its highest value. Moreover, if the US trader wants to have a successful trading day, then he must wake up very early to catch the trends of the European markets and end the day extremely late, to be able to be in the loop with the trading trends of the Asian markets. Forex Trading Hours

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