When are the various forex trading sessions?

The 24-hour forex market trading day can be broken up into three major trading sessions:

(Note: The chart to the right reflects the Tokyo open and ignores the Sydney open, we have included the Sydney open in the description below, which is an hour earlier than the Tokyo open. All times are based off summer hours in the Northern Hemisphere, the Asian session opens at 4pm EST during winter hours with the market opening in Sydney, London and New York hours remain the same)

• Asian trading session (including Australia and New Zealand): the Asian trading session opens at 6:00pm EST and closes at 4:00am EST

• London trading session: the London trading session opens at 3:00am EST and closes at 12:00pm EST.

• New York trading session: the New York trading session opens at 8:00am EST and closes at 5:00pm EST.

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, the Asian and London sessions overlap, and from 8:00-12:00pm EST, the London and New York sessions overlap.

As you may have guessed these over-lapping periods within the three trading sessions are the times when volume and volatility rise to peak levels. The over-lap of the London and New York trading sessions between 8am and 12pm EST 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.