forex market hours differ based on different sessions.

Forex Market Hours: Best Times to Trade Currencies

The forex market is the largest financial market in the world. It trades of about $1.5 trillion each day. Meaning, there are so many people buying and selling currencies all over the world.

But why is that?

That’s because the market is open 24 hours a day from 5 pm EST on Sunday until 4 pm EST on Friday. It’s one of the basic things in forex trading. And learning the forex market hours is important if you want to trade in this area.

Find out what makes The Forex Market Unique with our previous article.

the map of the world of each country's respective currencies

Currencies are in high demand. It’s one of the reasons you should know about in forex trading. And the concept of currency trading is that there are always traders across the world who are making and meeting demands for a certain currency.

The availability of the forex market for 24 hours is one of the greatest advantages of currency trading. It provides countless opportunities for traders to trade at any time of the day or night despite a busy schedule.

However, it still doesn’t mean it’s always active the whole day. You could make money either the market is moving up or down. But you’ll have a difficult time trying to make money when the market doesn’t move at all.

Forex Market Hours

The beauty of the forex market is when one major market closes, another one opens. Let’s take a look at the schedules of each major session.

Approx. April – October

  • Sydney session 6:00 pm – 3:00 am EDT
  • Tokyo session 7:00 pm – 4:00 am EDT
  • London session 3:00 am – 12:00 pm EDT
  • New York session 8:00 am – 5:00 pm EDT

Approx. Oct – April (Daylight savings)

  • Sydney session 4:00 pm – 1:00 am EDT
  • Tokyo session 6:00 pm – 3:00 am EDT
  • London session 3:00 am – 12:00 pm EDT
  • New York session 8:00 am – 5:00 pm EDT

Best Forex Market Hours to Trade

The best time to trade is when the market is the most active. Therefore, it has the largest volumes of trades. Actively traded markets will provide a good chance of trading opportunities and profits. While calm and slow market would only waste your time and money.

Overlapping sessions

  • New York and London – between 8:00 am – 12:00 pm EDT
  • Sydney and Tokyo – between 7:00 pm – 2:00 am EDT
  • London and Tokyo – between 3:00 am – 4:00 am EDT

Overlapping sessions have more volume when two markets are open at the same time. With that, these sessions are the most active and busiest times during the trading day.

If you take less active period between 5 pm – 7 pm EST, after New York closes and before Tokyo opens, Sydney will open for trading.

The Sydney session will have more modest activity than the 3 major sessions. Consequently, less activity means less opportunity.

If you want to trade the most popular currency pairs like EUR/USD, GBP/USD, or USD/CHF, you can find more activity between 8 am – 12 am when both London and New York are active.

the globe with a dark blue background and symbols of the US dollar

Conclusion

Trading during the best forex market hours is not the only way generate opportunities. You should look out for the release times of government reports and economic news.

To learn more about this, you can check out our article What Makes the Forex Market Move?

Knowing when to trade in the forex market hours already gives you the advantage. And pairing your knowledge with various trading strategies will double your benefits. If you truly want to be a successful forex trader, always be one step ahead of the game.

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Man working on his laptop as Day Trading is shown on screen

3 Effective Day Trading Strategies

Every trading day is always different. There’s not such a thing that two days in the market are exactly alike. However, there are still patterns that occur over and over as they’re hidden beneath the random daily price movements. This is where day trading strategies come in.

Day trading is the buying and selling of a financial security on the same day, or multiple times in a day. It involves in taking advantage of small price moves. Usually, all positions are closed before the market session ends.

Read more: Beginner’s Guide to Day Trading.

Traders who use day trading pick a trade at the beginning of the day. They would act on their bias, then finish the day with either a profit or a loss. In addition, they never hold their traders overnight.

A trader showing a fist as he's looking at his phone and a computer with charts on the background

Day Trading is suited for forex traders. If you have enough time throughout the day to analyze, execute, and monitor a trade, then day trading might be for you.

Read more: What is forex and you should know about it.

Here the three effective day trading strategies in forex.

Trend Trading

One of the most effective day trading strategies is trend trading. It involves looking at a longer time frame chart, and finding an overall trend.

When the overall trend is set up, you move to a smaller time frame chart. Then, look for trading opportunities in the direction of that trend.

Find out more about the Underlying Principles of Trend Trading.

Further, you can use indicators on the shorter time frame chart. This will give you an idea when to time your entries in positions.

Counter Trend Trading

Counter trend trading is also known us pull back trading, reverse trading, and fading. It’s one of the worst day trading strategies, especially for inexperienced traders.

This is similar to trend trading. However, once you find the overall trend, you look for trades in the opposite direction. The goal here is to determine the end of a trend, and jump in early as soon as the trend reverses. It’s among the day trading strategies that is a bit riskier, but can generate huge profits.

A reverse trader has to determine potential pullbacks with a high probability, and to be able to predict their strength. Further, this strategy requires a lot of market knowledge and practice.

On the other hand, you can consider the Daily Pivot strategy as a special case of reverse trading strategy. It specializes in trading the daily low and daily high pullbacks and reverse.

Breakout Trading

Breakout day trading is about looking at the range a pair has made during certain hours of the day. After that, place trades on either side, hoping to catch a breakout in either direction.

This is most effective when a currency pair has been in a tight range. This is an indication that the pair is about to make a big move.

In this day trading strategy, you determine a range where support and resistance have been holding strongly. After this, you can set entry points above and below your breakout levels.

The general rule here is that you want to get the same amount of pips that makes up your determined range.

Read more: The basics of support and resistance indicators.

Conclusion

This kind of trading is considered to be one of the most challenging styles of trading. This is why it’s important to jumpstart your career with day trading strategies.

Moreover, there are more day trading strategies out there you could try. While it’s not a secret that day trading is difficult to master, it still can provide huge rewards. If you have the time, skill, and discipline, you can significantly improve your chances of becoming a successful forex trader.

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Is Inflation Something to be Dreaded About

Is Inflation Something to be Dreaded About?

Inflation is indeed an extremely debated topic in economics. There are different points of view stating that it is just a phenomenon that drags the economy down – making everything harder and riskier.

Inflation is usually described as the sustained rise in prices of goods and services in a certain country. Its triggering point is – the value of money falls. If the prices of things keep on increasing and is making everything more difficult, then, is it something to be really dreaded about?

Or does it bring its own benefits, too?

Inflation is actually good for the economy

In cases that the economy is not running fully due to deflation (i.e. rise in unemployment and unused resources), inflation can help turn the tables. When the economy has been stuck in a period of recession, a higher rate of inflation can help it recover, thus, boosting its economic growth.

Moreover, when the prices of goods and services are falling (deflation), people are becoming unwilling to spend their money since they are thinking that prices can get cheaper sooner or later, hence, it leads them to delay purchases. If this happens, it can have an adverse domino effect to demand, then affecting production, distressing employment rate which may further lead to layoffs, and worst, a weakening and failing economy.

On the other hand, inflation boosts consumption. If you know that items are more likely to rise by 2-3% in a year, then you can be urged to purchase it now since buying it after some time can most likely increase its price.

Looking for a great investment strategy? Try Growth Investing.

All About Inflation

essentially increases wages

If the price of goods and services continue to increase in the market, employers find it easier to adjust and increase wages. In turn, employee productivity increases since there is an increase in the workers’ morale. Rise in wages can be attributed to inflation.

aids debtors

Inflation is a great help to people with current debts and are repaying their loans. With inflation peaking, wages of people can increase fast as well. To put it simply, loan payments become less valuable since it is taking a smaller portion of a person’s income. Quite the reverse of deflation or falling of prices – it actually intensifies the value of loans.

A good example is the United States, which is known as the leading debtor in the world, inflation helps reduce the impact of its massive debt.

favorable if it is 2-3% a year

Economists argue that a little does of inflation is vital to promote economic growth and to stabilize the economy. The considered healthy rate is 2-3% per year. As examined in this article, it can still be considered positive since it can result to wage growth. It can also lead to profitability of businesses due to a continued flow in their capital.

Inflation is a constructive phenomenon as long as the factors being considered such as employment, business growth, and wage concerns are moving up altogether in unison.

Read also about the events you need to anticipate in the economic calendar.

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Investing Dictionary #1 Debt Ceiling

Investing Dictionary #1: Debt Ceiling

The term “debt ceiling” is constructed under the Second Liberty Bond Act of 1971, this means ceiling a number of bonds the United States can issue. The Liberty Bond is a kind of bond that is issued solely by the U.S. government during the World War 1. These Liberty Bonds were introduced as a means of financing the war effort in Europe.

See also: Basics of bonds explained

Debt Ceiling and Why It Matters?

As of 2011, the debt ceiling was set at $14.3 trillion. Debt Ceiling is also known as the debt limit or statuary debt limit. The President then, before the debt ceiling was created, has the free reign of the country’s finances! The debt ceiling mainly was used to make the President fiscally responsible for everything that was happening financially by that time, over time the ceiling was set higher and higher by year it almost reached its limits.

When in an instance that the limit is reached, the United States would be in default; they would be lowering their credit rating and increasing the cost of its debt. Some worst showdowns that reached the limit have led the government to shutdowns. The conflict that is normal existence between the White House and the Congress; they argue whether or not the debt ceiling is to be used as a leverage to push budgetary agendas.

1995 Conundrum

1995 Conundrum

Looking back to 1995, the debt ceiling was used as a negotiating tool to increase the spending cuts. This was all devised by then-House Speaker Newt Gingrich, a part of the republican congress. Some instance like, President Clinton refused to increase the maximum cap of the debt ceiling, which the lead to a total shutdown of the government. The White House together with the Congress, after a very long discussion, had made the appeal on a balanced budget with modest spending cuts and tax increases.

Obama Faces Same Dilemma Last 2011

President Barack Obama delivers his State of the Union address in the House Chamber at the U.S. Capitol in Washington, D.C., Jan. 25, 2011. (Official White House Photo by Pete Souza)
This official White House photograph is being made available only for publication by news organizations and/or for personal use printing by the subject(s) of the photograph. The photograph may not be manipulated in any way and may not be used in commercial or political materials, advertisements, emails, products, promotions that in any way suggests approval or endorsement of the President, the First Family, or the White House.

Obama Faces Same Dilemma Last ‘11

The most recent president Barack Obama has faced the same issue last 2011, the Republicans that are part of the Congress argued for deficit reductions in order to approve an increase in debt ceiling. It was that time that the U.S. Treasury debt was stripped of its triple-A rating.

The most recent government shutdown was around 2013, it was down for a good 16 days after conservative republicans attempted to defund the Affordable Care Act by leveraging the debt ceiling. It was eventually led to the suspension of the debt limit when the Treasury estimated to run out of money!

Read also: What is bond yields?

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Forex Smartphone Apps Crash Course

Forex Smartphone Apps Crash Course

The past years has proven that anything can innovate, smartphones were smarter, electric cars and everything from your speakers down to your appliances is voice recognized and controllable. It has been a whirlwind of experiment and innovation, everything has been accessible with your phone and with it, you are also connected to the world! One thing that sparked a bigger sensation in the community is the presence of Forex smartphone application.

Smartphone and Forex!

Smartphone applications are really a treat; they are ever present and available in your local store! Apple store if you are using any iOS powered devices or the Play Store for any android powered devices. These applications or tools helps traders to have the most pleasant experience when it comes to trading, they also provide traders with real-time data of stocks available in the market, the applications also analyze currencies and place trades anytime and anywhere. These apps are either free or paid, some are pretty accessible and some may need to be upgraded to pro to utilize its full potential.

The most fundamental requirement to access these applications is an internet. You can’t use them without one; you won’t be able to update their statistics and data. You must be connected to a Wi-Fi or you are using your mobile data!

Forex Smartphone Apps

Trading Applications Round Up

There are a lot of variety you can choose from when looking for the right trading up for you! Don’t worry if this one doesn’t fit your preferences or it may seem lackluster. You will always find a better one in the swimming pool of trading application. There are also similar apps from the app engineers that also eases the trading process for everyone, several suggestions within your app store are provided so don’t forget to keep a closer look!

Always remember that a lot of the popular apps may not fit your taste, but always remember that always having one and mastering it can significantly boost your trading! To sum it up, the best feature Forex and trading applications give is their availability; you can trade on the fly and anywhere, provided that you have access to the internet!

See also: Trade12 platform saves you time and worry

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

An Understanding About Financial Reports

An Understanding About Financial Reports

Financial reports are results of a company’s financial standing. Kind of like an earnings reports where they post quarterly results but here it’s just some certain period of time and sometimes the full report of the fiscal year. It is a summary of all the returns, expenses and a record of gains and losses that happened in just a year.

If you can read financial reports, then it would be a good plus for you for it gives you the ability to look at further details on the performance of the company.  And that will help you think further and deeply in any decision you make.

Financial Statements

What can you find in a financial statement?

There are three things that you will find in a financial statement and one of them is cash flow. Here you can find the amount of money that is spent by the company and how much money came to the company. They’re called inflow and outflow. It is the result of investment activities, external actions and internal operations that caused financial situations. These factors affect the revenue of the company and of course the returns that are given to the investors.

Income Statements are the financial statement that shows how much revenue it had and took in a specific period and how much financial support they inclined to put in any activities given. It shows the company’s net losses and earnings. To make it short, in a period of time the company took an amount of money and these went through expenses and this here is where you will find records about it.

Lastly, what you need to read are the balance sheets. Here recorded are the liabilities, assets and net worth equity of the corporation.

Assets are the overall financial reports on all the properties it acquires.

Liabilities are the money that the company owns to its partners or any other external factors.

And lastly are the shareholder equity and here is where you can find records about the company’s net worth if it’s broken down to each shareholders.

Read also: 10 Crucial points when evaluating an investment opportunity.

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Adding Creativity to Investing

Adding Creativity to Investing

Creativity in the financial and business world can be considered as something less thought about in any forms of action under the field. It sometimes may not be needed at all but incorporating it will give anything beauty, not just for just the aesthetic function but even for the sole purpose can make a simple plan to an innovative plan and what does it take? Creativity.

Like what’s mentioned, creativity isn’t just for the aesthetic purpose although it can be expended in such but it will be more useful in terms of the internal purpose of let’s say a plan for example.

Read also: Importance of following a trading plan.

Adding Creativity

Creativity doesn’t just simply mean going outside of the box. That’s a wrong perception of it. Being creative is sometimes using what’s available for you and making something beautiful out of it and yes, it can be done without going outside of the box.

The idiom “outside of the box” means that one must go beyond his capabilities, function, rules or available resources in order to make something new and that isn’t the everyday creativity. Sometimes, it all takes just a piece of paper to make something beautiful. Being creative is making clever decision, a decision that is not expected and making the most out of it.

Back to the example, if one gives you a paper with no paper and any writing materials in hand and tasks you to make something creative out of it, how will you do it? It’s up to you.

Never settle for predictable actions, especially in the business world. If one finds out that your action is predictable then it may use it to his advantage and it will be your lost and it will be his win. Being predictable and expected is a dangerous mindset. And that is why, actions should be heavily educated, creative and something a regular human cannot think of or can predict.

The probability of a person to search for something on the internet it quite high but what can be recommended best is if one searches for ideas rather than how to’s. In the end, it is all in your mind on how you can execute something with unexpected beauty or simply just creativity. Don’t think outside of the box without looking with what you have in your box because who knows, what you need might already be in that box and adding more can be risky.

See also: Gauging Your Risk Tolerance.

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Selecting the Perfect Broker

Selecting The Perfect Broker

Choosing the perfect broker is as important as your money for this is the company that will be responsible for your development in the trading scene. It is because you need a total support from the firm because if you’re new, you might struggle. Asking for help or consulting a broker wouldn’t hurt at all. In fact, they will guide you and produce a rewarding result in the long term.

Perfect Broker

Doing Research

Research is essential when selecting a broker. In this way, you’ll get to know how trust worthy or just plainly worthy the company is in holding your funds for your investments.

  • First thing you should consider is how much advertisement it has around the web or just around. In this way, you will know how trust worthy it is. They can provide you more details in the process as well.
  • Look for brokers around your area so that you wouldn’t have a hard time going to their office just in case some matters persist.
  • When looking for a broker online. Do consider small things such as copies and designs. Like aforementioned, even the amount of ads or website linking to it matters. It boosts its trustworthiness.
  • If there are a lot of good brokers out there, better make a list of those who you would consider. In the end, you can compare one from another or pick maybe two that you can try out.
  • Having a friend who is already an investor can help you with the research. You can ask him for some recommendation on to which broker can provide the best guidance from your research. If he recommends a broker outside your list, do consider it still. Although you will have to research about it as well.

Read also: Things You Need to Know About an Online Broker

Good Broker

The Broker

How do brokers work? There some things that you should know about them as well: about how they work, how they function as a business and as a company. Here are some of the qualities that you should be looking.

  • It can be considered that a broker is a good broker if it offers classes, trainings and other programs that can train a new investors mind about the market. This will boost one’s trading skills and can help him on the latter when problems or other phenomenon comes.
  • Research about the trainings or programs that are presented. Find out if they’re relevant, helpful and applicable for you.
  • Do another research about their routine. On how they do their trades and handle clients, you will have to know this because this explains how their nature of work plays out.
  • Look for reviews. This is probably one of the best options you should do when doing a research. Here you can find their history, if they’re legit and if they’re worth trusting your money with.

 

You can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!

Girl trading commodities

2 of the Best Ways to Make Money in Commodities

A commodity can be used in a lot of different ways. It can be a term referring to raw materials and produce, metals, and crops.

Commodities Produce

Commodities, grains against paper bills and coins.

Making money in commodities is not an easy task. One of the reasons that make it hard is that there is no such thing as a “right time” when it comes to entering or exiting the market.

It is essential for you to understand the market in order to make profits from it. You must also learn how economics can affect the commodity prices.

Let us tell you 2 of the best ways you can succeed and make money in trading commodities:

1.     Trade Physical Commodities

1.1.           Understand the transactions

Physical commodities are bought and sold in bulk for immediate delivery in different markets across the globe. These markets are known as the “spot” or “cash” market.

Most participants of the spot market are producers, and users of commodities who are able to finance and store large amounts of commodity. These commodities are those such as refinery purchasing crude oil, a flour miller buying wheat and corn.

Because of this, you should note that individuals rarely buy commodities. Unless what they’re buying is gold, silver, or palladium.

1.2.           Buy or sell the physical commodities

You can get your hands on physical commodities when you visit specific websites or exchanges where they are sold. Standard brokerages don’t normally sell them though.

It can prove to be a rather trying task to find a reputable market to buy in online. It’s important to look for well-known authorities when it comes to deciding where to buy.

1.3.           Store the physical commodities you own

It is highly advisable that you store your physical commodities in a secure location. Physical commodities must be stored until sale.

You can also buy insurance in order to protect yourself from complete loss in case they are stolen. But both of these cut into you potential gains while adding to the cost.

You should also note that there are some gold-selling companies that offer secure storage for buyers.

Commodities metal and oil

Oil and Metal commodities together against white background.

2.      Trade Commodity-Related Stocks

2.1.           Understand the commodity-related stocks

Commodity stocks are those that move with underlying commodity prices. The correlation is determined by the company’s relation to the production or use of the underlying commodity.

An example will be, if you decide to invest in gold futures, you could then buy stocks from companies that mine it. Your risk is lower this way but you’re still participating in the market.

2.2.           Identify the commodity-related stock

You can start investing in commodity-related stocks thru searching for one that you want to invest in. You can do this by first finding one that interests you or by following market news for information.

Locating related companies can be done by searching for them in market websites.

You can then begin by looking at companies that produce, refine, or ship the commodity you chose. Or you can look for companies that use your chosen commodity as primary input to production.

2.3.           Open account with a broker

There are a lot of online brokerages out there in the internet. Any type of online brokerage will actually give you access to buying and selling stocks.

Once you’re set up, you can just put in an order of the stocks you want to buy or sell. After buying it, make sure to track the stock’s price and the price of the underlying security so that you can determine when to sell.

You can earn bigger profits and execute better trades here at Trade12by reading the latest market updates. Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you improve your overall trading performance. Register an account now and enjoy a wonderful trading experience!