Episode Details

Podcast:

What’s the Best Time of Day to Place Trades?

In this video:
00:24 – When should I enter trades?
00:55 – How the FX day runs
01:20 – Do I have to trade the London and US Sessions?
02:12 – Is trading the Asian session a disadvantage?
02:32 – The way we trade at TFTC
03:04 – Look to take retracement orders
03:44 – Look at the close of a candle for a new trade
04:18 – The best time to place trades
05:14 – Ask me a question for a future video and podcast

What’s the best time of day for you to place your trades as a Forex trader? Let’s talk about that and more right now.

Hey traders, it’s Andrew Mitchem here from the Forex Trading Coach with video and podcast number 336.

When should I enter trades?

And it’s a question that I get asked very often, especially by newer traders. The question is this, is that, “Look, I know the market’s open 24 hours a day. I know that it’s open five days a week, but really what is the best time for me as a trader to go and enter my trades?” It’s a confusing subject because as I said, we know it’s a 24 hour market, but we also get told so often about different times of the day when there’s more price action than less.

How the FX day runs

So the day starts in the Auckland session and then which is in New Zealand and through to the Sydney session, and through to Tokyo that’s generally classed altogether as the Asian session, then as the markets then go through to the Middle East and then through to Europe, London and then across to the US with the New York market opening last.

Do I have to trade the London and US Sessions?

When you think about it, when it’s say middle of the day here in New Zealand, it’s the middle of the evening, the nighttime in London. So a lot of people think that that’s a disadvantage because a lot of people think that they have to be at their computer when there are certain trading sessions going on. In other words, a lot of people think they have to be at their computer during the London session, so for me that means evening time. If you’re in America, that means being up at two or three o’clock in the morning. Then also people leading on from that think they need to be there at the swap over between London and New York.

For me that’s two o’clock in the morning also, and I’m not doing that. You don’t have to do that. But you can see where the confusion comes because that’s what people think they have to do. They have to be there when there’s the most price action and volatility, and news announcements.

Is trading the Asian session a disadvantage?

Likewise, for peop