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What are the trading times for each forex market?

Forex, or foreign exchange, refers to the global market where currencies are traded. Unlike other financial markets, the forex market operates 24 hours a day, five days a week. This means that traders can buy and sell currencies at any time, making it one of the most accessible and liquid markets in the world. However, to maximize your trading opportunities, it’s important to understand the different trading times for each forex market.

The forex market is divided into four main trading sessions: the Sydney session, the Tokyo session, the London session, and the New York session. Each session has its unique characteristics and trading times, depending on the time zone you’re in.

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Sydney Session

The Sydney session is the first to open, and it starts at 10 pm GMT on Sunday and runs until 7 am GMT on Monday. This session is usually the quietest of the four sessions as it overlaps with the end of the Asian session and the start of the European session. However, it’s a good time to trade the Australian dollar (AUD) and the New Zealand dollar (NZD), which are the main currencies traded during this session.

Tokyo Session

The Tokyo session starts at midnight GMT and ends at 9 am GMT. This session is known for its volatility, and it’s when the Japanese yen (JPY) is most actively traded. The Tokyo session is also significant because it overlaps with the Sydney session for a few hours, which can create some trading opportunities for AUD and NZD traders.

London Session

The London session is the most active and liquid session, accounting for about 35% of the daily trading volume. It starts at 8 am GMT and ends at 5 pm GMT. This session is known for its volatility, and it’s when the euro (EUR), the British pound (GBP), and the Swiss franc (CHF) are most actively traded. The London session also overlaps with the Tokyo session for a few hours, creating some trading opportunities for JPY traders.

New York Session

The New York session is the last session to open, and it starts at 1 pm GMT and ends at 10 pm GMT. This session is known for its volatility and liquidity, and it accounts for about 20% of the daily trading volume. The New York session is when the US dollar (USD) is most actively traded, along with other major currencies such as the EUR, GBP, JPY, and CHF. The New York session also overlaps with the London session for a few hours, creating some trading opportunities for EUR, GBP, and CHF traders.

It’s worth noting that the trading times mentioned above are based on GMT, which is the standard time zone used in forex trading. However, depending on your location and time zone, the trading times may differ. For example, if you’re in the US, the New York session may start at 8 am EST and end at 5 pm EST.

In conclusion, understanding the trading times for each forex market is crucial for maximizing your trading opportunities. Each session has its unique characteristics, and knowing when a particular session starts and ends can help you identify the best time to trade your preferred currency pairs. It’s also essential to keep in mind that trading times may differ based on your location and time zone, so make sure to adjust accordingly.

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