The Best Times to Trade Forex
Asian trading session (including Australia and New Zealand): the Asian trading session opens at 6:00pm EST( 7.00 am Malaysia Time) and closes at 4:00am EST (Malaysia Time 5.00pm)
• London trading session: the London trading session opens at 3:00am EST (Malaysia Time 4.00 pm) and closes at 12:00pm EST ( Malaysia Time 1.00 am Next Day) .
• New York trading session: the New York trading session opens at 8:00am EST and closes at 5:00pm EST (Malaysia Time 6.00am Next day).
you will notice that in between each trading session there is a window of time where two sessions are operating at the same time. From 3:00 – 4:00am EST( Malaysia Time 4.00 – 5.00 pm), the Asian and London sessions overlap, and from 8:00pm EST( Malaysia Time 9.00am) -12:00pm EST 1.00 am Next Day)- , the London and New York sessions overlap.
The over-lap of the London and New York trading sessions between 8:00pm EST( Malaysia Time 9.00am) to 12:00pm EST 1.00 am Next Day) is typically the best time to trade, because this is when the world’s two most active trading centers cross; as the London session is closing the New York session is opening. Many traders strictly trade this four hour time window because it is typically a very volatile and liquid time to trade the forex market.
the Asian trading session include; Tokyo, Hong Kong, Singapore, and Sydney.
if the London and New York sessions result in big moves, you will see consolidation during the Asian session.
New York sessions, it is typically the most active trading session and this leads to high liquidity/volume and lower pip spreads.
The New York trading session gets underway at 8:00am EST, this is just about the time traders in London are getting back from their lunch breaks, and it also signals the start of what is on average the most active time period for forex trading; from 8am EST to 12pm EST.
• Between 8am EST and 12pm EST there is high liquidity as the London and New York sessions overlap.
After European markets close, volatility and liquidity tend to die down during the late-afternoon New York trading session.
The best time to trade is from 8:00am EST (Malaysia Time 9.00 pm) to 12:00pm EST ( Malaysia Time 1.00 am Next Day) during the New York and London session overlap.the New York close each day at 5pm EST (Malaysia Time 6.00 am Next Day)
Note New York time 3:00am EST is London Time 8.00 am EST, Malaysia Time 4.00pm