The forex market is the largest financial market in the world, with a daily turnover of over $5 trillion. This market operates 24 hours a day, five days a week, which means that it is open from Monday to Friday. However, the market is not always active during these hours, and traders need to know the specific times when the market is open and closed to plan their trading activities. In this article, we will explore what time the forex market closes in New York and why it is important for traders.
The forex market is divided into four major trading sessions: the Sydney session, the Tokyo session, the London session, and the New York session. The New York session is the last session of the day, and it is also the most active session due to the overlap with the London session. This session opens at 8:00 am EST and closes at 5:00 pm EST. However, traders need to be aware that the market is not active throughout the entire session.
The first two hours of the New York session are the most active, as traders from Europe and Asia are still active, and the market is highly liquid. The highest volatility occurs during this period, and it is the best time for traders to enter and exit trades. The market slows down during the middle of the session, and traders need to be cautious during this period as the market is less predictable. The last hour of the session is also active as traders prepare for the close of the session.
Traders need to be aware of the specific times when the market is active and inactive to plan their trading activities. During inactive periods, traders may experience slippage or wider spreads, which can affect their profitability. Traders also need to be aware of any major economic events or news releases that may affect the market during these periods.
It is also important to note that the forex market is not closed on weekends, but it is inactive. The market opens on Sunday at 5:00 pm EST and closes on Friday at 5:00 pm EST. However, traders need to be aware of the specific times when the market is active during the weekend. The market is active during the Sydney and Tokyo sessions, but it is less active during the London and New York sessions.
In conclusion, the forex market is open 24 hours a day, five days a week, and the New York session is the most active session due to the overlap with the London session. The session opens at 8:00 am EST and closes at 5:00 pm EST, but traders need to be aware of the specific times when the market is active and inactive during this period. Traders also need to be aware of any major economic events or news releases that may affect the market during these periods. Knowing the specific times when the market is open and closed is crucial for traders to plan their trading activities and maximize their profitability.
