Will the market open today? Full trading hours guide

As more people get into forex trading it’s normal to hear beginners ask “When is the forex market open?” Once they learn it’s open 24 hours a day five days a week the question is usually “How does that work?”

A trader must know the hours when the markets are open. You must also know the four main trading sessions as well as the opening and closing times of the forex market.

So, the answer is pretty simple; forex doesn’t rely on a single exchange. Instead trading moves from one country to another as each region wakes up and starts its trading day. The forex market opens from Monday until Friday and closes on the weekend, along with financial institutions such as banks.

The trading sessions are those in Tokyo, London and New York. Because they’re in different time zones traders can find opportunities at almost any hour. So even if you only have an hour a day to trade, there will always be a market open somewhere in the world.

About the foreign exchange market & trading hours

With about $7.5 trillion traded every day, the foreign exchange market is the most active financial market in the world. Forex trading doesn’t happen on a central exchange like stocks. Instead, it’s done directly between buyers and sellers online.

It’s mostly run by big banks that set their own prices which means traders have more freedom. You can trade forex anytime during the week, unlike stocks that can only be traded during certain hours on weekdays.

The forex market is open 24 hours a day from 5:00pm on Sunday to 4:00pm on Friday. This gives traders many chances to trade all day and night. Some periods during the day are more active than others, like when both the New York and London markets are open between 1:00am and 5:00pm (UK time) which usually brings more price movement.

The Tokyo session runs from 12:00am to 9:00am UK time in autumn and winter. Approximately 20% of all forex trades take place in Tokyo making it one of the largest forex trading hubs. Currencies like the Japanese yen and others from the Asia-Pacific region, like AUD/USD, are more active during this session.

The London session opens at 8:00am and closes at 4pm (UK time). It is the busiest forex market in the world handling about 35% of all forex trades – around $2.1 trillion each day. Because there is so much trading going on, spreads are usually tighter and there is a lot of price movement, especially for major currency pairs.

Finally, the Sydney session starts at 8:00pm and ends at 5:00am UK time helping keep the forex market running 24 hours a day.

Best time to trade forex

The best time to trade forex is following the start of the London session when the foreign exchange market is at its most active.  periods for the forex market. This is when lots of traders are online so prices tend to move more and trading opportunities increase. Things may slow down around 11:00am but pick up again when the US market opens.

Now why is the London session popular?

The London trading hours are among the busiest especially for well-known pairs like GBP/USD and EUR/GBP. It gets even more active when London and New York markets are open simultaneously.

This creates more volume and volatility. The European session also overlaps with London which keeps things moving. Compared to this, the time when both Tokyo and London are open is generally quieter because their trading hours don’t match up as well.

The New York session is key because it overlaps with London’s hours making it a strong time to trade especially if you’re watching the GBP/USD pair. Since New York is the last market to close in the 24-hour cycle traders often rush to act on the day’s news before markets shut.

Many traders involve the US dollar and activity around USD pairs is at its peak during this session since USD is part of nearly half of all forex trades made daily.

Why may traders consider trading during certain forex hours?

Technically you can trade currencies at any time because the the forex market is open around-the-clock. But in reality you need someone on the other side of your trade. To buy a currency pair like USD/JPY pair, someone has to be selling it. 

If you try to trade in the middle of the night, activity may be limited.
This is especially true when traders in the US and Japan are asleep.
As a result, it might be hard to find a match for your trade.

Even though some brokers let you trade on weekends the market is usually very quiet and prices barely move. If you are a day trader who buys and sells within the same day.

Trading outside of the main hours can feel slow. This is because big financial institutions and professional traders aren’t placing large orders during off hours. These players usually drive market movement, so their absence reduces activity

That’s why forex trading hours matter. When big financial centres like London, New York or Tokyo are open there are more people trading. This means more volume, tighter spreads and better chances of getting orders filled quickly without slippage.

Why does the forex market stay open 24/5

The forex market is opem 24 hours a day, 5 days a week as trading takes place across different time zones. Instead of using one main exchange trades are made through a global network of computers. The market’s long trading hours are the reason forex is the largest financial market in the world. According to a survey, more than 170 different currencies are traded in the global forex market.

Why do forex market opening and closing times matter?

Different traders use different styles and strategies so knowing when each market opens helps you plan better. For example, if a trader focuses on certain currencies, they may watch the Japanese yen during the Tokyo session then switch to the US dollar or British pound when the London or New York markets open.

Since the level of activity and price changes, also known as volatility, can vary throughout the day it’s important to choose the time that works best for your forex strategy.

Gaps in forex trading

When the forex market is closed over the weekend it is possible to experience gaps in trading. Even though there is no trading during this time currency prices can still change based on news or events.

These changes create gaps between the closing price on Friday and the opening price on Sunday. Some traders have strategies to trade these gaps and try to profit from sudden price movements especially if big news affects a currency’s value.

Final thoughts

The forex market is very busy and, because traders can trade during different trading sessions depending on which part of the world they reside, the forex market is open 24 hours a day, 5 and a half days a week. While the market in your region may be closed on the weekend you can still trade other regions that are open during that time. With IronFX you can trade 500+ instruments across 6 asset classes on the industry-leading MT4, knowing you get tight spreads, competitive conditions and advanced tools

Disclaimer: This information is not considered investment advice or an investment recommendation, but instead a marketing communication. IronFX is not responsible for any data or information provided by third parties referenced, or hyperlinked, in this communication.