The Forex market is the largest financial market globally, with trillions of dollars traded daily. Due to its global nature, the market operates 24/5, allowing traders to buy and sell currencies at any time worldwide. However, the market does have specific opening and closing times that vary depending on the country and region.
The Forex market opens on Sunday at 5 pm EST (Eastern Standard Time) and closes on Friday at 5 pm EST. It means that the market remains open for 24 hours a day, excluding weekends. However, this doesn’t mean that all financial centers around the world operate at the same time.
There are three major Forex market sessions- the Asian, European, and North American sessions.
1. Asian session:
The Asian session starts at 6 pm EST on Sunday and closes at 4 am EST on Monday. This session includes financial centers such as Tokyo, Singapore, Hong Kong, and Sydney. The Asian session is relatively quiet compared to the other sessions, with low volatility and low trading volumes.
2. European session:
The European session starts at 3 am EST and closes at 12 pm EST. This session includes financial centers such as London, Frankfurt, and Paris. The European session is the most active session, with high volatility and trading volumes.
3. North American session:
The North American session starts at 8 am EST and closes at 5 pm EST. This session includes financial centers such as New York, Toronto, and Chicago. The North American session is also active, with high volatility and trading volumes.
It’s worth noting that the Forex market operates on a 24-hour clock, and the opening and closing times are relative to the EST timezone. Therefore, traders should adjust their local time zones accordingly.
Moreover, there are some exceptions to the market opening and closing times, such as during holidays and major economic events. For example, the Forex market may close early on Christmas Eve and may remain closed on Christmas Day.
In conclusion, the Forex market operates 24/5, but its opening and closing times vary depending on the session and financial center. Traders should keep track of the different sessions’ opening and closing times to plan their trading strategies and avoid any potential market gaps.
