So now we know that theLondon sessionis the busiest out of all the other sessions, but there are also certain days in the week where all the markets tend to show more movement.
Know the best days of the week to trade forex.
Below is a chart of average pip range for the major pairs for each day of the week:
As you can see from the chart above, its best to trade during themiddle of the week, since this is when the most action happens.
Fridays are usually busy until 12:00 pm EST and then the market pretty much drops dead until it closes at 5:00 pm EST. This means we only work half-days on Fridays.
So based on all these, weve learned when the busiest and best days of the week to trade forex are.
The busiest times are usually the best times to trade sincehigh volatilitytends to present more opportunities.
Unless youre Edward Cullen, who does not sleep, there is no way you can trade all sessions. Even if you could, why would you?
While the forex market is open 24 hours daily, it doesnt mean that action happens all the time!
Besides, sleep is an integral part of a healthy lifestyle!
You need sleep to recharge and have energy so that you can do even the most mundane tasks like mowing the lawn, talking to your spouse, taking the dog for a walk, or organizing your stamp collection.
Youll definitely need your rest if you plan on becoming a hotshot currency trader.
Every trader should know when to trade and whenNOTto trade.
Knowing the optimal times you should trade and the times when you should sit out and just play some Fortnite instead.
Unless you play Fortnite a littletoo muchalready.
Heres a quick cheat sheet of the best and worst times to trade:
When two sessions are overlapping of course! These are also the times where major news events come out to potentially spark some volatility and directional movements. Make sure you bookmark theMarket Hourscheat sheet to take note of the Opening and Closing times.
The European session tends to be the busiest out of the three.
The middle of the week typically shows the most movement, as the pip range widens for most of the major currency pairs.
everyone is sleeping or enjoying their weekend!
liquidity dies down during the latter part of theU.S. session.
broke up with your significant other because you chose trading forex over him or her. Wait until the next London session instead.
Cant seem to trade during the optimal sessions? Dont fret.
You can always be aswing or position trader. Well get back to that later.
Meanwhile, lets move on to how you actually make money trading currencies. Excited? You should be!
Margin Trading 101: Understand How Your Margin Account Works
Trading Scenario: Margin Call Level at 100% and No Separate Stop Out Level
Trading Scenario: Margin Call Level at 100% and Stop Out Level at 50%
Trading Scenario: What Happens If You Trade With Just $100?
Warning: Different Forex Brokers Have Different Margin Call and Stop Out Levels
Winners never quit and quitters never win!Vince Lombardi
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