The forex market is a global decentralized market where currencies are traded 24 hours a day, five days a week. However, even though the forex market operates around the clock, there are certain days when the market is closed. This article will explain what days forex markets are closed.
Firstly, it is important to understand that the forex market is divided into three major trading sessions. These sessions are the Asian session, the European session, and the US session. The Asian session begins at 10 pm GMT on Sunday and ends at 9 am GMT on Friday. The European session starts at 7 am GMT and ends at 4 pm GMT, while the US session runs from 12 pm GMT to 9 pm GMT.
Now, let’s look at the days when the forex market is closed. The first day is the weekend. The forex market is closed on Saturdays and Sundays. However, even though the forex market is closed on weekends, traders can still access their trading accounts and manage their positions.
The second day when the forex market is closed is on national holidays. Each country has its own public holidays, and these holidays can affect the forex market. For example, if the US market is closed for Thanksgiving, it will have a significant impact on the forex market because the US dollar is the most traded currency in the world. When the US market is closed, there will be less liquidity in the market, and volatility will be lower.
There are also global holidays that can affect the forex market. The most significant global holiday is Christmas. The forex market is closed on December 25th, and this can affect the market’s liquidity and volatility. The market can also be affected by other holidays, such as Easter, New Year’s Day, and Labor Day.
Another day when the forex market is closed is during weekends in some countries. For example, in the Middle East, the weekend is on Friday and Saturday. Therefore, the forex market is closed on Friday in these countries. Similarly, in Japan, the weekend is on Saturday and Sunday, and the forex market is closed on Saturday in Japan.
It is also worth noting that the forex market can close early on certain days. This usually happens on the day before a major holiday or a weekend. For example, the forex market may close early on the day before Christmas or New Year’s Eve.
In conclusion, the forex market is open 24 hours a day, five days a week. However, the market is closed on weekends, national holidays, and global holidays. Traders should be aware of these days when the market is closed and adjust their trading strategies accordingly. It is also important to note that the forex market can close early on certain days, so traders should keep an eye out for announcements from their brokers.
