The forex market is open 24 hours a day, five days a week—but that doesn’t mean every hour is equally good for trading. If you’re just getting started, understanding when to trade is just as important as knowing what to trade. Timing can make a big difference in volatility, liquidity, and your overall results. Here’s what beginners need to know.
Forex trading sessions explained
The forex market follows the global clock, rotating through four major trading sessions:
1. Sydney session – Opens the trading week (quiet, low volatility)
2. Tokyo session – Good for trading JPY pairs
3. London session – One of the most active sessions
4. New York session – High volatility, overlaps with London
Each session overlaps slightly with the next, and that overlap is often when markets see the most action.
When is the best time to trade?
The London–New York overlap (8:00 AM to 12:00 PM EST) is considered the best time to trade forex. This is when the two biggest markets are active at the same time, resulting in:
- Higher liquidity (easier to enter/exit trades)
- Tighter spreads (lower trading costs)
- More price movement (better for profit opportunities)
For beginners, this window is ideal because it provides enough volatility to catch trends, but not so much that it feels overwhelming.
When to avoid trading
Not all times are created equal. Here are a few to be cautious about:
- Between sessions – These “dead hours” tend to be quiet with little movement
- Friday afternoons – Liquidity dries up as traders close positions before the weekend
- Major holidays – Low volume can lead to erratic price action
- Before big news events – Price swings can be unpredictable; better to wait for the dust to settle
Final thoughts
Just because the forex market is always open doesn’t mean you always need to be trading. As a beginner, focus on the times when the market is most active and liquid, especially during the London–New York overlap. With the right timing and a solid plan, you’ll give yourself a much better shot at consistent success.
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