The foreign exchange market, commonly known as the forex market, is a 24-hour market that operates from Monday to Friday. However, the market closes on weekends, which means that traders cannot trade during this period. Moreover, the forex market is divided into four major trading sessions, which are the Asian, European, North American, and Pacific sessions.
In this article, we will explore what time PDT (Pacific Daylight Time) does the forex market close and provide a comprehensive understanding of the market’s trading hours.
The Forex Market Trading Hours
The forex market operates 24 hours a day, five days a week, from Sunday 5:00 pm EST to Friday 5:00 pm EST. However, the market is not open during the entire 24 hours as it is divided into four major trading sessions. These sessions are the Asian session, European session, North American session, and Pacific session.
The Asian session starts at 5:00 pm EST on Sunday and ends at 2:00 am EST on Monday. This session is dominated by the Japanese yen, Australian dollar, and New Zealand dollar. The European session starts at 2:00 am EST and ends at 11:00 am EST. This session is dominated by the euro, British pound, and Swiss franc. The North American session starts at 8:00 am EST and ends at 5:00 pm EST. This session is dominated by the US dollar and Canadian dollar. Lastly, the Pacific session starts at 5:00 pm EST on Friday and ends at 2:00 am EST on Monday. This session is dominated by the Australian dollar, New Zealand dollar, and Japanese yen.
What Time PDT Does the Forex Market Close?
PDT (Pacific Daylight Time) is eight hours behind Coordinated Universal Time (UTC-8). Therefore, to determine the forex market’s closing time in PDT, we need to add eight hours to the market’s closing time in UTC.
The forex market closes on Fridays at 5:00 pm EST, which is 10:00 pm UTC. Therefore, to determine the forex market’s closing time in PDT, we need to add eight hours to 10:00 pm UTC, which gives us 2:00 pm PDT. This means that the forex market closes on Fridays at 2:00 pm PDT.
It is important to note that the forex market’s closing time may vary depending on the country’s daylight saving time. For instance, during the daylight saving time period, the forex market’s closing time in PDT will be 1:00 pm instead of 2:00 pm. Therefore, traders need to be aware of the daylight saving time changes to avoid any confusion about the market’s closing time.
Conclusion
In conclusion, the forex market is a 24-hour market that operates five days a week from Sunday 5:00 pm EST to Friday 5:00 pm EST. However, the market is divided into four major trading sessions, which are the Asian, European, North American, and Pacific sessions. The market closes on Fridays at 5:00 pm EST, which is 10:00 pm UTC. To determine the forex market’s closing time in PDT, we need to add eight hours to the market’s closing time in UTC, which gives us 2:00 pm PDT. It is important to note that the forex market’s closing time may vary depending on the country’s daylight saving time. Therefore, traders need to be aware of the daylight saving time changes to avoid any confusion about the market’s closing time.
