Forex trading has become increasingly popular over the years, and many traders are always on the lookout for the best time to trade forex. One of the most popular trading sessions is the Asian market, which is known for its liquidity and volatility. However, not all forex pairs perform well during the Asian market. In this article, we will discuss what forex pair trades well during the Asian market and why.
The Asian market is the first to open after the weekend, starting with the Tokyo session, followed by the Singapore and Hong Kong sessions. The market opens at 7:00 pm EST and closes at 4:00 am EST. During this time, the market sees significant trading activity, especially when the European and American markets are closed.
One of the most traded currencies during the Asian market is the Japanese yen. The yen is the third most traded currency in the forex market and is known for its liquidity and volatility. It is also known as a safe-haven currency, which means that during times of economic uncertainty, investors tend to flock towards the yen, making it a popular currency to trade.
Another currency that trades well during the Asian market is the Australian dollar. Australia is a major trading partner with many Asian countries, and as a result, the Australian dollar is closely linked to the Asian market. The Australian dollar is also a commodity currency, which means that it is affected by the price of commodities such as gold and oil. During the Asian market, the price of commodities tends to be more stable, making the Australian dollar a popular currency to trade.
The New Zealand dollar is another currency that performs well during the Asian market. New Zealand is another major trading partner with many Asian countries, and as a result, the New Zealand dollar is closely linked to the Asian market. The New Zealand dollar is also a commodity currency, which means that it is affected by the price of commodities such as dairy products. During the Asian market, the price of dairy products tends to be more stable, making the New Zealand dollar a popular currency to trade.
The USD/JPY is one of the most popular currency pairs to trade during the Asian market. The USD/JPY is the second most traded currency pair in the forex market and is known for its liquidity and volatility. The pair is also closely linked to the Japanese stock market, which tends to perform well during the Asian market.
The AUD/USD is another popular currency pair to trade during the Asian market. The pair is heavily influenced by the price of commodities, especially gold and oil. During the Asian market, the price of commodities tends to be more stable, making the AUD/USD a popular currency pair to trade.
The NZD/USD is also a popular currency pair to trade during the Asian market. The pair is heavily influenced by the price of dairy products, which tend to be more stable during the Asian market. The pair is also closely linked to the Australian dollar, which performs well during the Asian market.
In conclusion, the Asian market is a popular time to trade forex, and there are several currency pairs that perform well during this time. The Japanese yen, Australian dollar, and New Zealand dollar are popular currencies to trade during the Asian market, as well as the USD/JPY, AUD/USD, and NZD/USD currency pairs. It is important to remember that while these currencies and currency pairs may perform well during the Asian market, they may not perform as well during other trading sessions. It is essential to analyze market trends and do your research before making any trades.
