The forex market is a decentralized market that operates 24 hours a day, 5 days a week. This means that traders can buy and sell currencies at any time, from anywhere in the world. However, while the forex market is open 24 hours a day, not all trading sessions are created equal. In this article, we will explore when the forex market closes on the west coast and what impact this has on traders.
Forex Market Hours
The forex 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 own unique trading hours, and there is some overlap between them. The Sydney session starts at 5:00 PM EST and closes at 2:00 AM EST. The Tokyo session starts at 7:00 PM EST and closes at 4:00 AM EST. The London session starts at 3:00 AM EST and closes at 12:00 PM EST. Finally, the New York session starts at 8:00 AM EST and closes at 5:00 PM EST.
When Does the Forex Market Close on the West Coast?
The west coast of the United States is in the Pacific Time Zone. This means that traders on the west coast are three hours behind traders on the east coast. Therefore, the New York session, which closes at 5:00 PM EST, closes at 2:00 PM PST on the west coast.
However, it is important to note that the forex market does not necessarily close completely when the New York session ends. While the New York session is the last major trading session of the day, the forex market remains open for trading in other parts of the world. For example, the Sydney session starts just a few hours after the New York session ends. This means that traders in the Asia-Pacific region can continue to trade currencies while traders on the west coast are sleeping.
The Impact on Traders
The fact that the forex market is open 24 hours a day, 5 days a week, means that traders can choose when to trade based on their own schedules and preferences. However, the different trading sessions do have different levels of liquidity and volatility. The New York session, for example, is typically the most active and volatile session of the day, as it is when traders in Europe and North America are both active.
For traders on the west coast, the fact that the New York session closes at 2:00 PM PST means that they may miss out on some of the most active trading hours of the day. However, this does not mean that they cannot trade during these hours. Traders on the west coast can choose to trade during the London session, which starts at 12:00 AM PST and ends at 9:00 AM PST. While this session is not as active as the New York session, it still offers plenty of opportunities for traders to make profits.
Conclusion
In conclusion, the forex market is open 24 hours a day, 5 days a week. While the New York session, which is the last major trading session of the day, closes at 5:00 PM EST, traders on the west coast will see it close at 2:00 PM PST. However, the forex market remains open for trading in other parts of the world, and traders on the west coast can choose to trade during the London session, which starts at 12:00 AM PST. Ultimately, the ability to trade at any time of the day or night is one of the great advantages of the forex market, and traders on the west coast can take advantage of this flexibility to find the best trading opportunities for their own schedules and preferences.
