The forex market is a decentralized global market for the trading of currencies. It operates 24 hours a day, five days a week, across different time zones. The forex market is the largest financial market in the world, with an estimated daily turnover of $6.6 trillion.
The forex market is open 24 hours a day, but not all hours are equal. The market is divided into four major trading sessions: the Sydney session, the Tokyo session, the London session, and the New York session. Each session has its unique characteristics, and traders need to be aware of these to maximize their trading opportunities.
When does forex market open back up?
The forex market never closes, but the trading hours vary depending on the session. The market opens on Sunday at 5 pm EST (9 pm GMT) with the Sydney session and ends on Friday at 5 pm EST (9 pm GMT) with the New York session. However, trading is not active all the time during the day.
The Sydney session is the first to open, followed by the Tokyo session, the London session, and the New York session. The trading hours in each session overlap with the previous and next sessions, which means that there is always some level of trading activity in the market.
The Sydney session opens at 5 pm EST (9 pm GMT) and closes at 2 am EST (6 am GMT). The Tokyo session opens at 7 pm EST (11 pm GMT) and closes at 4 am EST (8 am GMT). The London session opens at 3 am EST (7 am GMT) and closes at 12 pm EST (4 pm GMT). The New York session opens at 8 am EST (12 pm GMT) and closes at 5 pm EST (9 pm GMT).
The most active trading hours are during the overlap of the London and New York sessions, which occur between 8 am EST (12 pm GMT) and 12 pm EST (4 pm GMT). During this time, traders can take advantage of the high volatility and liquidity in the market.
It’s important to note that the forex market is not open on weekends. Trading starts again on Sunday at 5 pm EST (9 pm GMT) with the Sydney session.
Factors affecting forex market hours
There are several factors that can affect forex market hours, including:
1. Daylight saving time: The forex market hours can shift by one hour during daylight saving time, which can affect the trading hours in different time zones.
2. Economic events: Major economic events, such as central bank meetings, can affect the trading hours as traders may adjust their positions ahead of the event.
3. Public holidays: Different countries have different public holidays, which can affect the trading hours in those countries.
4. Trading volumes: The trading volumes can affect the liquidity and volatility in the market, which can affect the trading hours.
Conclusion
The forex market is a 24-hour market that is open five days a week. The trading hours vary depending on the session, with the most active trading hours during the overlap of the London and New York sessions. Traders need to be aware of the different trading sessions and their characteristics to maximize their trading opportunities. Factors such as daylight saving time, economic events, public holidays, and trading volumes can affect the forex market hours.
