The foreign exchange market, commonly known as the forex market, is the largest financial market in the world, with an estimated daily turnover of over $5 trillion. It is a decentralized market where traders buy and sell currencies from around the world. The forex market operates 24 hours a day, five days a week, except on weekends. As such, traders from different time zones can participate in the market at any time of the day or night. In this article, we will focus on when the forex market in Japan starts and how it relates to the US market.
The forex market in Japan is one of the largest in the world and accounts for about 6% of the global forex market. Japan is a major player in the forex market, and its currency, the Japanese Yen (JPY), is one of the most traded currencies in the world. The forex market in Japan is regulated by the Financial Services Agency (FSA), which is responsible for overseeing and regulating financial institutions and markets in Japan.
The forex market in Japan opens at 9:00 am Japan Standard Time (JST), which is 8:00 pm Eastern Standard Time (EST) in the United States. This means that when it is 8:00 pm EST in the US, it is 9:00 am JST in Japan, and the forex market in Japan is just opening. During this time, traders in Japan are looking to trade the JPY against other currencies, such as the US dollar (USD), the euro (EUR), and the British pound (GBP).
The forex market in Japan is open until 5:00 pm JST, which is 4:00 am EST in the US. This means that traders in Japan can participate in the forex market for a full eight hours, while traders in the US can participate for 16 hours, as the forex market in the US opens at 5:00 pm EST and closes at 5:00 pm EST the following day. However, it is important to note that the forex market in Japan is not the only market that is open during this time. Other markets, such as those in Australia, New Zealand, and Hong Kong, are also open, and traders from these regions are actively participating in the market.
The overlap between the forex market in Japan and the US market is significant, as it allows traders to take advantage of the increased liquidity and volatility during this time. The overlap occurs between 8:00 pm EST and 12:00 am EST, which is 9:00 am JST and 1:00 pm JST in Japan. During this time, traders from both regions are actively trading, and there is a lot of movement in the market. This makes it an ideal time for traders to enter or exit positions, as they can take advantage of the increased liquidity and volatility.
It is also important to note that the forex market is not just limited to Japan and the US. There are other major forex markets around the world, including those in London, Frankfurt, and Zurich. These markets are also open during different times of the day, which means that traders can participate in the market at any time of the day or night.
In conclusion, the forex market in Japan opens at 9:00 am JST, which is 8:00 pm EST in the US. The market is open until 5:00 pm JST, which is 4:00 am EST in the US. The overlap between the forex market in Japan and the US market is significant, as it allows traders to take advantage of the increased liquidity and volatility during this time. However, it is important to note that the forex market is not just limited to Japan and the US, and there are other major forex markets around the world that are also open during different times of the day.
