If you want to become a successful Forex trader, you need to choose the best trading time. There are four peak activity trading sessions: the Tokyo session, the Sydney session, the New York session and the London session.
What’s the best trading time in India?
The Forex market is open 24/7. Therefore, beginners think that they can make money whenever they have a free moment for trading. However, it’s not true. It is important to take into account the activity of trading sessions and intra-session periods. Professional traders usually earn on the most active price movements.
In this regard, we can highlight the best hours to trade the Forex markets:
– overlaps in trading times. For your convenience, you can use Forex trading session indicators that can be easily installed on the charts of the currency pairs;
– release of important news, reports, publications and economic indicators;
– actions of the key players (for example, major central banks).
However, you should remember that although trading news on Forex allows you to earn a quick income, it may also result in losses. Therefore, scalpers are recommended to close all deals before trading the news.
You should avoid trading when the large players enter the market because you don’t know what their plans are.
The most unfavorable days for trading are holidays when all regional stock exchanges and central banks are closed. During such periods, assets move in narrow corridors, and the market activity is weak.
Friday is also not the best Forex trading time in India. On this day, most market participants start to fix their positions, so it’s very difficult to predict the behavior of the currency pairs in such conditions.
Monday morning is not a good time to start trading, as that’s the time when Friday’s market moves are corrected and the weekend news is processed.
In summary, we can say that the best days to trade Forex are Tuesday, Wednesday, and Thursday, as these days are not oversaturated with news and speeches of the monetary authorities.
What to do if you can’t trade when the market is high?
If you live in an inconvenient time zone or are busy during market hours, we can give you a few tips:
- You can become a long-term trader. If you trade long-term, you don’t need to monitor the prices all day long; it is enough to browse the charts once or twice a day (for example, before and after work).
- Try trading during another session, even if it’s not the busiest time. If you can’t trade during European or American sessions, try the Asian one. That way, you can study the market movements in this time zone and develop your own trading strategy suitable for this specific market.
The choice is yours. Even if you don’t have time to monitor the market, we recommend you to study the charts for the whole session. When you study the price movements in real-time, you can see the nuances in the history of the currency pair movement. However, monitoring the market movement online is very different from studying the historical market data.
Practice makes everything better, so the longer you trade, the better you will get at it.