The foreign exchange market, also known as the forex market, is a decentralized market where currencies are traded 24 hours a day, five days a week. The forex market is the largest financial market in the world, with an average daily trading volume of more than $5 trillion. However, just like any other financial market, the forex market has specific hours of operation. In this article, we will explain what time the last forex session closes on Friday.
The forex market operates through a network of financial institutions, including banks, brokers, and dealers. These institutions trade currencies electronically through the interbank market, where they can buy and sell currencies at any time of the day or night. However, the forex market is not open 24 hours a day, but rather operates on a schedule that is determined by the time zones of the major financial centers around the world.
The forex market follows a 24-hour trading cycle, which starts on Sunday at 5 pm EST (Eastern Standard Time) and ends on Friday at 5 pm EST. During this time, the forex market is open for 24 hours a day, with the exception of weekends. However, there are certain times of the day when the market is more active than others, and these are the times when traders are more likely to make profitable trades.
The forex market is divided into three major trading sessions: the Asian session, the European session, and the North American session. The Asian session starts at 10 pm GMT on Sunday and ends at 8 am GMT on Monday. This session is relatively quiet, with low trading volumes, as the major financial centers in the region are closed.
The European session starts at 7 am GMT and ends at 4 pm GMT. This session is the most active of the three sessions, as it overlaps with the Asian and North American sessions. The European session is dominated by London, which is the largest financial center in the world, and is followed by other major financial centers such as Frankfurt, Paris, and Zurich.
The North American session starts at 12 pm GMT and ends at 9 pm GMT. This session is dominated by the United States, which is the largest economy in the world. The North American session overlaps with the European session, which makes it the second most active session of the day.
On Fridays, the forex market tends to slow down as traders close their positions ahead of the weekend. The last trading session of the week is the North American session, which ends at 9 pm GMT. This means that the forex market closes for the weekend at 5 pm EST on Friday.
It is important to note that not all forex brokers follow the same trading hours. Some brokers may have different trading hours due to the time zone they are located in or their trading platform. Therefore, traders should always check the trading hours of their broker before placing any trades.
In conclusion, the last forex session closes on Friday at 9 pm GMT, which is 5 pm EST. The forex market operates on a 24-hour trading cycle, with three major trading sessions: the Asian session, the European session, and the North American session. Traders should be aware of the trading hours of their broker and the major financial centers around the world to make profitable trades.
