Forex trading is a 24-hour market, which means it is open for trading all day and all night from Monday to Friday. This means that traders can participate in the market at any time they choose, regardless of their location in the world. However, while the forex market is open 24 hours a day, it does not mean that it is always active or volatile. Forex traders need to know when the market is most active and when it is best to trade.
The forex day is divided into four main trading sessions: the Asian session, the European session, the North American session, and the Pacific session. These sessions are characterized by different market conditions and trading volumes. The Asian session is the first to open, followed by the European session, the North American session, and finally, the Pacific session.
The Asian session starts at 6 pm EST (11 pm GMT) on Sunday and ends at 4 am EST (9 am GMT) on Monday. This session is the least volatile and has the lowest trading volume of all the sessions. However, it is important to note that some of the major forex pairs, such as the USD/JPY and the AUD/USD, are most active during this session.
The European session starts at 3 am EST (8 am GMT) and ends at 12 pm EST (5 pm GMT). This session is the most volatile and has the highest trading volume of all the sessions. The European session overlaps with the Asian session for a few hours, which creates a period of increased volatility and trading activity.
The North American session starts at 8 am EST (1 pm GMT) and ends at 5 pm EST (10 pm GMT). This session is also quite active, but it is not as volatile as the European session. The North American session overlaps with the European session for a few hours, which creates a period of increased trading activity.
The Pacific session starts at 9 pm EST (2 am GMT) and ends at 6 am EST (11 am GMT). This session is the least active and has the lowest trading volume of all the sessions. However, it is important to note that the AUD/USD and the NZD/USD pairs are most active during this session.
It is important for forex traders to know when the different sessions begin and end so that they can plan their trading activities accordingly. Traders should also be aware of any significant news events or economic reports that may affect the market during these sessions.
In conclusion, the forex day does not have a specific end time, as the market is open 24 hours a day. However, the market is divided into four main trading sessions, each with its own characteristics and trading volumes. Traders should be aware of the different sessions and plan their trading activities accordingly, taking into account the market conditions and any significant news events or economic reports.
