The Tokyo Forex market, also known as the Tokyo session, is one of the three major trading sessions in the global currency market. It is considered the first major market to open each day, followed by the London and New York sessions. The Tokyo Forex market is known for high liquidity, volatility, and trading volume, making it a popular destination for traders around the world.
So, what time does the Tokyo Forex market open?
The Tokyo Forex market opens at 9:00 PM GMT (Greenwich Mean Time) on Sunday and closes at 6:00 AM GMT on Friday. However, due to time zone differences, the opening and closing times may vary depending on your location. For example, if you live in North America, the Tokyo session will start on Sunday evening and end early Monday morning.
The Tokyo Forex market operates during the Asian trading hours, which are known for low volatility and thin liquidity compared to the other two major sessions. The Asian trading hours overlap with the European trading hours for a few hours, which is known as the Asian-European session overlap. During this time, the market experiences increased volatility and trading volume, making it a lucrative opportunity for traders.
The Tokyo Forex market is the largest trading center in Asia, accounting for over 20% of the total daily trading volume in the Forex market. The major currency pairs traded during the Tokyo session include USD/JPY, EUR/JPY, AUD/JPY, and NZD/JPY, among others. The Japanese yen is the third most traded currency in the world, making it a popular currency for traders.
The Tokyo Forex market is heavily influenced by the Japanese economy and its monetary policies. The Bank of Japan (BOJ) sets interest rates and monetary policies for the country, which can impact the value of the yen in the Forex market. Traders closely monitor the BOJ’s decisions and announcements, as they can have a significant impact on the market.
In addition to economic factors, geopolitical events can also impact the Tokyo Forex market. The market can experience increased volatility and trading volume during major news events, such as elections, natural disasters, and economic reports. Traders must stay up-to-date with the latest news and developments to make informed trading decisions.
In conclusion, the Tokyo Forex market is a vital trading session in the global currency market, opening at 9:00 PM GMT on Sunday and closing at 6:00 AM GMT on Friday. The major currency pairs traded during the Tokyo session include USD/JPY, EUR/JPY, AUD/JPY, and NZD/JPY, among others. The market is heavily influenced by the Japanese economy and its monetary policies, as well as geopolitical events. Traders must stay informed and use proper risk management techniques to succeed in the Tokyo Forex market.
