In my last presentation, I covered an introduction to trading sessions, daylight savings & session overlapping.
If you didn’t see that presentation yet, I would recommend checking it out before proceeding.
What is Trading Volume?
Trading volume also known as volatility, measures the total number of shares or contracts transacted for a specified security during a specified time period.
It includes the total number of shares transacted between a buyer and seller during a transaction.
When securities are more actively traded, their trade volume is high, and when securities are less actively traded, their trade volume is low.
It’s important to note that each trading session has pairs that move better than others.
New York: USD, CAD, XAU
London: GBP, EUR, CHF
Asian: JPY, AUD, NZD
So, what are the most probable times that the market will have the highest trading volume and which are the best currencies to trade during each?
Trading Session Overlap EDT : Spring/Summer in the U.S.
(March/April – October/November)
Best times & Currency Pairs?
3:00-5:00EDT – GBP, EUR, CHF
8:00-11:00EDT – USD, CAD, XAU
20:00-2:00EDT – JPY, AUD, NZD
Trading Session Overlap EST : Fall/Winter in the U.S.
(October/November – March/April)
Best times & Currency Pairs?
3:00-4:00EST – GBP, EUR, CHF
8:00-11:00EST – USD, CAD, XAU
Although there is an overlap from15:00-16:00, there usually is not much movement in the afternoon market
19:00-24:00EST – JPY, AUD, NZD
Now let’s take a look at the average pip movement of the major currency pairs during each forex trading session.
Highest Movement?
As you can see, the London session has the most currency pairs with movement over 100 pips (circled in yellow) and over 95 pips (circled in orange).
But you can also see that the Tokyo and New York Sessions still have some pairs to focus on.
There You Have it!
Tokyo Session
Pairs that move over 100 pips
EURJPY, GBPJPY
Pairs that move over 95 pips
AUDJPY
London Session
Pairs that move over 100 pips
EURUSD, GBPUSD, USDCHF, EURJPY, GBPJPY, AUDJPY, EURCHF
Pairs that move over 95 pips
USDCAD
New York Session
Pairs that move over 100 pips
EURJPY, GBPJPY, AUDJPY
Pairs that move over 95 pips
GBPUSD, USDCAD
In my next presentations, I will be covering daily trading session breakout strategies and how to properly trade them.
The Expert Advisor (EA) / AutoTrader + Signals
CLICK HERE to access
Market Commentary
Charlie shares with you education, responses to questions, results and market commentary of recent trades – CLICK HERE to access