I received a question from Thyvatharom Kim who asked:
Would you recommend when is the right time to start trading i.e. after Europ’s market or US market open?
If the take price is not hit (or still loss) on Friday, so can we leave it until next Monday or we close the order?
Thank you very much for valuable answers.“
I have mentioned this before that there is no such “best” or “right” time in a day to trade, as it depends on the strategy. However, in general, the market does show more movements after the London market opens, which is followed by New York. Nevertheless, you need to be sure of the criteria of the strategy you adopt as there are strategies that require you to trade during the Asian market hours.
As for holding a trade over the weekend, you may need to check whether there is a major news release or event held on the weekend at your Forex calendar as it may affect your open position once the market is opened on Monday. Major non-economic events may also affect the currency market, especially when there is fear and panic in the market, as what happened from the recent tensions in Ukraine. Please click here to read further.
If you want to avoid any possible volatilities that may happen during the weekend, you may close all your open positions on Friday. Alternatively, if your open trade is at floating profit on Friday, you may secure your position by shifting your Stop Loss to Entry Price level for a breakeven trade in case the price goes against you.
To your success as a profitable trader,