Best time for forex trading how to#

In the hours when more than one of the major markets is open and there is an overlap in trading activity, currency values tend to fluctuate more, creating opportunities to speculate on volatility. The best time to trade currencies is typically when the market is most active and liquidity is higher. In the UK, overnight trading is considered to be the period on Asian markets between the close of US markets at 17:00 EST and the re-opening of European markets the following day at 08:00 CET.Īsian currency traders sometimes refer to themselves as night traders if they trade during the day in their home country, as the period between the US market closing and European market opening is globally known as the after-hours or night session.

Best time for forex trading how to#

How does overnight forex trading work, and how to choose the best currency pairs to trade at night? What are forex night trading hours?įorex markets are open for trading from 22:00 local time in the UK (GMT in the winter, BST in the summer) on Sundays until 22:00 on Fridays. But as the vast majority (80%) of currency trading occurs on the North American and European markets, night trading typically refers to the Asian currency markets. The markets that are open overnight will depend on where you are located. At any time of the day or night, at least one of the three major currency markets – Asia, North America and Europe – is open for trading. One of the advantages of foreign exchange (forex) trading is that unlike equity markets, the forex markets are open 24 hours a day, six days a week.

What are the pros and cons of night trading and how to pick the right currency pair? Photo: Pozdeyev Vitaly / Shutterstock