The New York forex session, also known as the US session, is one of the most significant sessions in the forex market due to the high trading volume and liquidity it provides. The session begins at 8:00 AM EST and ends at 5:00 PM EST, with the peak activity occurring between 1:00 PM EST and 4:00 PM EST. The session overlaps with the London forex session, which creates a lot of trading opportunities for traders worldwide.
The New York forex session is known for its volatility, and many traders try to capitalize on the price movements during this time. However, it’s essential to understand when the session has its turnaround to avoid getting caught in a losing trade.
So, when does the New York forex session have its turnaround?
The turnaround in the New York forex session typically occurs around 3:00 PM EST or 2:00 PM EST during daylight saving time. This is because traders from the European session start to wind down their trading activities, and the volume and liquidity in the market start to decrease.
As a result, the price movements become less volatile, and the market often consolidates, leading to a potential reversal or turnaround. This is also the time when traders from the US start to wind down their trading activities, leading to a further decrease in volume and liquidity in the market.
Traders need to be aware of the turnaround time in the New York forex session as it can impact their trading strategies. If a trader is in a long position and the market starts to reverse, they may want to consider closing their position to avoid further losses. Similarly, if a trader is in a short position and the market starts to reverse, they may want to consider taking profits or adjusting their stop-loss levels.
There are several factors that can influence the turnaround time in the New York forex session. One of the biggest factors is economic news releases. Economic news releases can cause sudden price movements in the market and create volatility. If a significant economic news release is scheduled for the afternoon, it can delay the turnaround time in the New York forex session.
Another factor that can impact the turnaround time is geopolitical events. Geopolitical events such as political instability, natural disasters, or terrorist attacks can create uncertainty in the market and lead to increased volatility. Traders should keep an eye on any significant geopolitical events that could impact the market and adjust their trading strategies accordingly.
In conclusion, the New York forex session is an essential session for traders due to the high trading volume and liquidity it provides. However, traders need to be aware of the turnaround time in the session to avoid getting caught in a losing trade. The turnaround in the New York forex session typically occurs around 3:00 PM EST or 2:00 PM EST during daylight saving time. Traders should also be aware of the various factors that can influence the turnaround time and adjust their trading strategies accordingly. By doing so, traders can maximize their trading opportunities and minimize their risks.
