1. Active Market
The forex markets is outstanding because they are open almost all of the time and there are a wide range of currencies to choose from. These brings up an important question. What is the most active hours for forex trading?
In general, the most active hours all around is between the London markets opening around 8:00 GMT and end with the markets in the US closing around 22:00 GMT. The absolute busiest time in the forex markets is during the London to US overlap between 13:00 GMT to 16:00 GMT. This is the hours where the most liquid or when the most traders are in the markets making deals. If your intention is to do daytrading, these are key hours! What are the major sessions for forex trading?
What are the most active hours for forex trading?
Generally speaking, the most active hours all around are between the London markets opening around 8:00 GMT and end with the markets in the US closing around 22:00 GMT. The absolute busiest time in the forex markets are during the London to US overlap between 13:00 GMT to 16:00 GMT. These are the hours that are the most liquid or when the most traders are in the markets making trades. If your intention is to do daytrading, these are key hours!
What are the major sessions for forex trading?
There are 3 major sessions each day in the forex markets. They are the London session, the US session, and the Asian Session.
The London Session The London session starts around 8:00 GMT and winds down around 1600 GMT. The currencies that are the most active during these hours are EUR, GBP, and USD.
The US Session The US session starts around 1300 GMT and winds down around 22:00 GMT. The currencies that are the most active during these hours are AUD, EUR, GBP, JPY, and USD.
The Asian Session The Asian session is a reasonable quiet session on most days. All pairs are pretty slow moving and it is not a good time to day trade. The only real currency that has noteworthy activity is the JPY and the activity is slow unless a major financial event happens
The following table shows the opening and closing time in world financial markets.
|New Zealand open||22:00||05:00|
|New Zealand open(Tokyo still open)||07:00||14:00|
|Tokyo close (London still open)||09:00||16:00|
|New York open||13:00||19:00|
|London tutup (New York still open)||17:00||24:00|
|New York tutup||22:00||05:00|
* In the winter, for the WIB is GMT +8
We could see that the actual market is never closings, because when there has a closed market, there are markets in another countries that have got been open. Just pick, what time do you prefer to trade in ?
2. The highest volume and liquidity
These led us to deal transactions or purchase at any time, because buyers and sellers are always available.
3. Two ways opportunity
Opportunities is always available both when prices raise or going fall down.
4. Lower margins due to the solid leverage
with the existance of solid leverage, we can move into transactions exclusively with capital ranging from 1% of the real transaction value.
5. Too big to be manipulated by certain parties
Do you remember that forex trading intensity hit till 3 trillion USD per day? These huge volume creates no single party could adjust the price, even the central bank. That represents, the price actually formed by the existing demand and supply at the market.