Understanding Global Forex Trading Sessions

Global Forex trading sessions is one of the fundamentals associated with the trading of Forex currency pairs on the international Forex market.

While it is true that the Forex market is continuously open for six days a week, it is not active for trading the entire day.

Forex traders can only make meaningful Forex trade deals when the market moves upward or downward. However, a flat Forex market is of no use at all because traders cannot make financially significant deals when there is no trading activity. Therefore, it is necessary for Forex traders to determine exactly which time of day is beneficial for Forex trading.

What are Forex market hours?

Forex market hours represent the time of day when it is suitable for engaging in Forex trade. On the whole, the Forex market hours can be divided into four main trading sessions:

• The Sydney session
• The Tokyo session
• The London session
• The New York session

The timings of these sessions do not remain constant throughout the year. They vary according to the seasons as the days are shorter in winter and longer in summer.

If any of the countries involved adopt daylight savings time (DST), it has a direct impact on the opening and closing times of the session associated with that country.

There are also certain periods when two sessions overlap and are both open for a certain period. In summertime, the Tokyo and London sessions overlap and during winters the New York and London sessions overlap.

The following are the winter (approx. Oct – Apr) trading times for the 4 major Forex trading sessions:

What do global trading sessions represent?

Global trading sessions represent a period of heavy trading activity and a tremendously large volume of Forex deals are made during these sessions. Forex traders around the world synchronize their clocks to take advantage of these trading sessions and engage in profitable Forex trade deals.

Of all the four main trading sessions, the London session usually experience the most activity and the price action movements of the currency pairs, such as the EUR/USD currency pair, traded during this session experience the greatest shifts.

NewsMovesMarketsForex is a reliable provider of all importance facts related to Forex trading. Our goal is to help novice Forex traders understand how the Forex market works.

Information is the key to making good Forex trade deal. We offer the latest and most well-researched material about the working of the Forex market and how traders can make profitable trade deals.

NewsMovesMarketsForex also has a vast Forex Learning Center Library that aims to educate Forex traders about the latest news and strategies for making good Forex deals and the tools used to make accurate predictions about emerging Forex market trends.

   (  Please Follow us on Instagram @newsmovesmarketsforex   Twitter @newsmmforex   FaceBook @NmmForex )