When to trade the currency market?
You were probably wondering when is the best time for trading. And this is a very good question because you cannot do it all the time. You can only trade a particular currency when the market session is open. If you want to trade the EUR/USD currency pair, you will need to check when European and US markets are open.
In this guide, you will find hints when a specific session is open compared to your time zone.
Key Takeaways🔑
→Optimal trading times depend on the market session and time zone. |
→Olymp Trade offers a wide range of currency pairs for trading. |
→Understanding the currency pair market session is crucial for successful trading. |
Olymp Trade best currency pairs.
There are many currency pairs on Olymp Trade. 35 to be exact. Let’s focus on the 9 most popular currencies, that are traded in 6 different market sessions.
Take a closer look at the table below.
Currency Pair Market Session Trading Tool – how to use it
As you already know, it is not the best idea to trade a particular currency pair all day long. The time you can actually do it depends on a few factors. First, the currency must be available on the market. Second, markets should overlap. Lastly, what time zone are you in. All those factors have to be taken into account.
In Guide #1 on choosing the perfect trading hours at Olymp Trade, you will find more detailed information on when to trade on the currency pair market or fixed-time trade.
Now, let’s look into the Currency Pair Market Session Trading Tool.
On the drop-down menu below different time zones are specified. Select the one you are operating in and click GO. Our “clock” will automatically adapt and you will clearly see the market hours for any of the 9 currencies.
Currency Market Hours Clock By olymptradewiki.com
To summarise, every time you want to trade currencies, you should determine when your favored currency pairs overlap. If your choice falls on GBP/USD currency pair, you ought to check the hours when both, London and New York sessions are opened and they coincide. This will be the time when they are traded on a large scale and this exactly means the best trading opportunities for you.
The tool is specifically created for Olymp Trade platform traders and we are using it too.
Best of luck!
Currencies
|
Short Name
|
Exchange
|
British pound
|
GBP
|
London, United Kingdom
|
Euro
|
EUR
|
Europe
|
Swiss franc
|
CHF
|
Zurich, Switzerland
|
Norwegian krone
|
NOK
|
Oslo, Norway
|
US dollar
|
USD
|
New York, United States
|
Canadian dollar
|
CAD
|
Toronto, Canada
|
Australian dollar
|
AUD
|
Sydney, Australia
|
Japanese yen
|
YEN
|
Tokyo, Japan
|
Singapore dollar
|
SGD
|
Singapore, Singapore
|
Pros and Cons of Trading Different Currency Pairs 📊
Pros 👍
- Provides diverse trading opportunities.
- Can take advantage of different market sessions.
- Potential to capitalize on market volatility.
Cons 👎
- May require staying up late or waking up early due to time zone differences.
- Some currency pairs might have higher spreads.
- Requires understanding of different economies and their indicators.
Currency Pair | Key Factors to Consider |
---|---|
EUR/USD | European and US economic indicators, interest rates, political stability. |
GBP/USD | UK and US economic indicators, Brexit updates, interest rates. |
Frequently Asked Questions 🤔
- Q: What is the best time to trade currency pairs?
- A: The best time to trade depends on the currency pair and the overlapping market sessions.
- Q: What are the most popular currencies on Olymp Trade?
- A: Olymp Trade offers a wide range of currencies including the GBP, USD, EUR, and more.
- Q: How can I use the Currency Pair Market Session Trading Tool?
- A: Select your operating time zone, and the tool will show you the market hours for various currencies.
- Q: What factors should I consider when trading a specific currency pair?
- A: Factors to consider include economic indicators, interest rates, and political stability of the relevant countries.
- Q: What are the pros and cons of trading different currency pairs?
- A: The pros include diverse trading opportunities and the potential to capitalize on market volatility. Cons include time zone differences and a need for understanding of different economies.