When should I trade forex?
Forex is a 24 hour market, so shouldn’t I trade when I’m the most alert? No, unless your alertness corresponds to the timing recommended.
The best time to trade for swing and position traders is whenever you want. The markets liquidity will have little impact on your profitability or loss. If the price meets your entry rules, go ahead and place that order.
The best time to trade for scalpers and day-traders is during volatile hours. This is usually the opening hours of the three major markets (London, New York, Asian). Also if there are overlapping markets (see the infographic below). By far, the best time to scalp is during the London and New York overlap. This is a three hour window. Most professional traders who are scalpers trade for these two or three hours and are done for the day.
Comment below on your trading session questions and be sure to pick up Infographical Forex if you haven’t already done so.
Quick question: Which trading session is the picture below in?