Forex is a global market that operates 24/7, which means that traders can trade currencies at any time of the day or night. However, the Forex market is divided into different sessions, with each session having its own unique opening and closing times. One of the tools that traders use to analyze the Forex market is candlestick charts, which display the price action of a currency pair over a certain period of time. In this article, we will discuss what time do 4 hour candles close in Forex.
What are Candlestick Charts?
Candlestick charts are a popular tool used by Forex traders to analyze the price action of a currency pair. Candlesticks are used to represent the open, close, high, and low prices of a currency pair over a certain period of time. Each candlestick on a chart represents a specific time frame, such as 1 minute, 5 minutes, 15 minutes, 1 hour, 4 hours, daily, weekly, or monthly.
Candlestick charts are used to identify trends, support and resistance levels, and potential price reversals. Traders can use candlestick patterns to make trading decisions, such as buying or selling a currency pair. Candlestick charts are also used to identify price patterns, such as head and shoulders, double tops, and triangles.
What are 4 Hour Candles in Forex?
A 4 hour candle in Forex represents the price action of a currency pair over a 4 hour period. Each 4 hour candle on a chart represents a specific time frame, such as 4:00 AM to 8:00 AM, 8:00 AM to 12:00 PM, 12:00 PM to 4:00 PM, and so on. Each 4 hour candle displays the open, close, high, and low prices of a currency pair during that time frame.
4 hour candles are used by Forex traders to identify trends, support and resistance levels, and potential price reversals. Traders can use 4 hour candles to make trading decisions, such as buying or selling a currency pair. 4 hour candles are also used to identify price patterns, such as head and shoulders, double tops, and triangles.
What Time do 4 Hour Candles Close in Forex?
The closing time of 4 hour candles in Forex depends on the time zone that the trader is using. The Forex market operates 24/7, but the market is divided into different sessions, with each session having its own unique opening and closing times. The closing time of 4 hour candles in Forex is determined by the closing time of the session that the trader is using.
For example, if a trader is using the New York session, which opens at 8:00 AM EST and closes at 5:00 PM EST, the 4 hour candles will close at 12:00 PM EST, 4:00 PM EST, 8:00 PM EST, and so on. If a trader is using the London session, which opens at 3:00 AM EST and closes at 12:00 PM EST, the 4 hour candles will close at 7:00 AM EST, 11:00 AM EST, 3:00 PM EST, and so on.
Traders can use the closing time of 4 hour candles in Forex to make trading decisions, such as entering or exiting a trade. For example, if a trader sees that a 4 hour candle has closed above a resistance level, they may decide to enter a long position, expecting the price to continue to rise. Conversely, if a trader sees that a 4 hour candle has closed below a support level, they may decide to enter a short position, expecting the price to continue to fall.
Conclusion
In conclusion, 4 hour candles are a popular tool used by Forex traders to analyze the price action of a currency pair over a 4 hour period. The closing time of 4 hour candles in Forex depends on the time zone that the trader is using. Traders can use the closing time of 4 hour candles to make trading decisions, such as entering or exiting a trade, based on price action and technical analysis.
