The foreign exchange market is open 24 hours a day, five days a week. However, not all trading sessions are created equal. Depending on where you are located in the world, the forex week may begin on a different day.
In the United States, the forex week generally begins on Sunday evening at 5:00 pm EST and ends on Friday at 5:00 pm EST. This is because the forex market is divided into four major trading sessions: the Sydney session, the Tokyo session, the London session, and the New York session.
The Sydney session opens at 5:00 pm EST on Sunday and runs until 2:00 am EST on Monday. This session is typically quiet, with low volatility and low trading volumes. The Tokyo session then begins at 7:00 pm EST and runs until 4:00 am EST. This session is known for its high liquidity, as it overlaps with the London session.
The London session opens at 3:00 am EST and runs until 12:00 pm EST. This is the busiest trading session, with high volatility and high trading volumes. This session also overlaps with the New York session, which opens at 8:00 am EST and runs until 5:00 pm EST.
It is important to note that the forex market does not close on weekends, but rather, trading is suspended during the weekend in between the New York session on Friday and the Sydney session on Sunday. This is why the forex week in the United States begins on Sunday evening.
While the forex market is open 24 hours a day, it is important to consider the trading sessions when planning your trades. Each session has its own characteristics, and traders should be aware of the times when the market is most active and volatile.
For example, traders who prefer high volatility may want to focus on the London session, while traders who prefer a more stable market may want to focus on the Sydney session. Additionally, traders should be aware of any major economic events or news releases that may impact the market, as these can cause significant price movements and volatility.
In conclusion, the forex week in the United States begins on Sunday evening at 5:00 pm EST and ends on Friday at 5:00 pm EST. The forex market is divided into four major trading sessions, each with its own unique characteristics. Traders should be aware of the trading sessions and any major economic events or news releases that may impact the market when planning their trades.
