Map of trading sessions
Forex is open 24 hours a day. It works nonstop as trading is not done at one central location. It is a distributed electronic marketplace, operating in different parts of the world. As trading sessions follow each other during the day, speculators can open trades at any time. However, trading floors are closed on weekends and international holidays such as Christmas, New Year's Eve, and Easter.
If you know the opening and closing hours of forex sessions, you can enhance your trading results. There are certain periods of time when the volatility on Forex increases. It happens, for example, during the overlapping hours when one session has not ended yet and the second one has already begun. At such moments, the trading volume reaches a peak, which leads to strong price fluctuations on which traders reap profits.
The working hours of the world's main stock markets can be viewed on our stock exchange clock. Please note that it is made in accordance with the UTC time standard. The working hours of a particular exchange are indicated as a separate segment and the hour hand points to the current trading session. Unlike ordinary clocks, this one passes only one lap per day. As for the minute and second hands, they have the same movement pattern as in standard watches. They complete a full circle in 60 minutes and 60 seconds respectively.
Below you can find a forex trading schedule for the UTC+3 time zone, which is used in Moscow, Istanbul, Minsk, and other cities. You can adjust this schedule according to your time zone.
Trade on Forex runs round the clock 5 days a week except for weekends and holidays such as Christmas, New Year's Eve, and Easter. Moreover, trade is conducted in every spot of the globe, so when night falls in Japan, traders from America are only starting their working day. Due to such geographical differences, a day is divided into trading sessions.
A trading session is a period of time when trading activity is especially high in a certain part of the globe. For example, during the Asian and Pacific trading sessions traders from Japan, Australia, New Zealand and other countries of this region are most active. A trading session starts at the opening of a local market and ends when the market closes.
Why is it important to know trading hours?
The first hour of the market opening can tell a lot about the future tone of trade during a particular trading session. When the number of market participants increases, liquidity increases as well. Usually, it happens when trading sessions overlap.
What trading sessions are there?
There are four trading sessions, and the behavior of currencies, stocks, commodities, and other assets changes depending on the session. Here are the main features of them:
- The most aggressive trading session.
- More than half of all trade volume is conducted in the American session.
- High volatility.
- The most traded instruments are EUR/USD, GBP/USD, USD/JPY, and USD/CHF.
- US stocks and indices are traded.
- The most intense period with the peak of activity at the beginning and in the end of the session.
- High volatility.
- Most trends are formed during this session.
- The most traded instruments are EUR/USD, GBP/USD, EUR/JPY, USD/CHF, GBP/JPY, and GBP/CHF.
- EU and UK stocks and indices are traded.
- Higher volatility compared to the Pacific session.
- Daily trends are usually formed during the Asian session.
- The most traded instruments are EUR/JPY and USD/JPY.
- Japanese and Chinese stocks and indices are most actively traded.
- Low or moderate volatility on condition of stable global situation.
- The most traded instruments are AUD/USD and NZD/USD.
- Low risk due to low volatility.