Forex Trading Sessions

Beginner Questions
1

In late September, we will begin the semi-annual silliness of Daylight Saving Time changes. Every spring and every fall, these changes are spread out over a period of several weeks, as various countries go onto or off of Daylight Saving Time.

These changes upset our trading, by altering the opening and closing times of the various forex markets.

Depending on your location and the markets that you trade, you may be faced with up to 7 different changes each year in the opening and closing times of your markets.

Here are the changes in Daylight Saving Time and Standard Time scheduled to occur in 5 of the 7 principal forex trading centers this fall and next spring:

[U]Fall of 2011:[/U]

 Sep 25 --- New Zealand will go onto DST

 Oct 2 ---- south-eastern Australia will go onto DST

 Oct 30 --- the U.K. and  Europe will return to standard time

 Nov 6 ---- the U.S. and Canada will return to standard time

[U]Spring of 2012:[/U]

 Mar 11 --- the U.S. and Canada will go onto DST

 Mar 25 --- the U.K. and Europe will go onto DST

 Mar 31 --- New Zealand and south-eastern Australia will return to standard time

In the past, I have posted lengthy descriptions of the time changes (ahead one hour, or back one hour) occurring in the principal forex trading markets, and how those changes would affect traders in various parts of the world. For example, this series of posts attempted to explain the time changes last spring — 301 Moved Permanently

I think there’s a much better way to do it.

This time, I’m going to post a [B]Table of Forex Trading Sessions[/B]. The Table will show the opening and closing times of the normal 9-hour business day (8am-5pm, local time) in each of the 7 principal forex trading markets. For each of the 7 markets, opening and closing times will be shown in each of 26 time zones around the world.

You will be able to locate your particular GMT time zone in this Table, and read the current opening and closing times ([I]local time in your time zone[/I]) for each of the 7 markets, without worrying about Daylight Saving Time changes.

As Daylight Saving Time changes occur, I will update the Table, highlighting the changes, so that the Table will always be current. Beginning next month, for example, the table will be updated on Friday, September 23 (ahead of the September 25 time changes), on Friday, September 30 (ahead of the October 2 time changes), on Friday, October 28 (ahead of the October 30 time changes), and on Friday, November 4 (ahead of the November 6 time changes).

I hope that this way of doing it will be a lot easier and less confusing for [I]you.[/I] It will save[I] me[/I] from trying to describe in words all the changes, and how traders in various places will be affected by them.

Later today or tomorrow, I will post the Table of Forex Trading Sessions showing [I]current[/I] times.

We have 5 weeks until Daylight Saving Time changes begin (on September 25). So, I’m hoping that, between now and then, anyone wanting to make use of this Table will have plenty of time to get comfortable with the format of the Table (and, if you so desire, double-check the times I have posted).

Then, beginning on September 23, as Daylight Saving Time changes begin to occur, I will post updates to the Table, on the schedule outlined above.

4

303×1080

Notes on the Table, plus some time zone factoids:

1. How to use this Table:

Let’s say that you are in Singapore, and you want to find out when the New York Session begins and ends, but you don’t know your GMT time zone.

Step 1 - Find Singapore in the lower portion of the Table, and you will see that its GMT time zone is GMT+8.

Step 2 - Go to the upper portion of the Table, find GMT+8, and read across to the column labeled “New York Session”. There you will see that the New York Session opens at 2000 (8pm) Singapore time, and closes at 0500 (5am) Singapore time.

On that same line of the Table, you will find the opening and closing times for all the other Sessions, in your local (Singapore) time zone, as well.

2. The Table shows the normal 8am-5pm business hours in the 7 principal forex markets. These markets are considered the “principal” markets, because they are the “home markets” of the 10 most heavily traded currencies in the world: the U.S. dollar (USD), the euro (EUR), the Japanese yen (JPY), the British pound (GBP), the Australian dollar (AUD), the Swiss franc (CHF), the Canadian dollar (CAD), the Hong Kong dollar (HKD), the Swedish krona (SEK), and the New Zealand dollar (NZD). Altogether, these 10 currencies are involved in more than 90% of all currency transactions worldwide.

3. The 7 forex markets in the Table are listed (from left to right) in the order in which they open on a daily basis. By international agreement, a new calendar day begins at midnight at the International Date Line (in the Pacific Ocean, east of New Zealand). For the purpose of our Table, above, we are saying that a new business day begins at 8am in each location. So, following the sun, daybreak (and the start of a new business day) occurs first in New Zealand, then in Australia, Japan, Hong Kong (and the rest of mainland Asia), then later in Europe, the U.K., and North America.

Looking at a map, it’s clear that the business day progresses from right to left (east to west, as the sun moves across the map). But, our Table reads from left to right, because it’s written in English. Call it forex market dyslexia. Or backwardation.

4. You will not find the GMT+13 time zone on some time-zone maps. The GMT+13 time zone is an artificial time zone designating New Zealand (and some other Pacific island nations) on Daylight Saving Time. When New Zealand is on Standard Time (as they are currently), their time zone is GMT+12.

5. The International Date Line splits one time zone down the middle: east of the Line, that time zone is called GMT-12; and west of the Line, the time zone is called GMT+12. When you cross the Line from east to west, you cross from one day on the calendar, into the next day.

On the other side of the world, the Greenwich Meridian (which runs through the English town of Greeenwich) splits the GMT time zone down the middle. The GMT time zone is sometimes called the GMT+0 time zone.

Altogether, counting the GMT+0 time zone, there are 24 time zones circling the earth, from GMT+12 on the west side of the International Date Line, to GMT-12 on the east side of the Line.

This Anglo-centric way of dividing up the world was invented by — guess who?

6. Each sovereign country decides for itself what the time of day shall be within its borders, and therefore what time zone the country lies within. This can lead to some wild distortions of the time zone map.

China, for instance, has decided that their entire country will be one time zone (GMT+8), even though it is a very large country (east to west). China extends all the way to Pakistan (GMT+5). So, if you were to walk across the border from Pakistan, into China, you would be stepping across 3 time zones. And, probably, you would be shot.

India has decided that they don’t like being either GMT+5, or GMT+6; so, they have established themselves as GMT+5½.

7. Many countries do not observe Daylight Saving Time (DST). In the Table, above, those countries (or regions) which do not observe DST are marked with an asterisk (*).

In the U.S., the states of Arizona and Hawaii do not observe DST. Portions of Canada and Mexico do not observe DST. In Australia, the states of Queensland, Northern Territory, and Western Australia do not observe DST.

8. Russia has decided to remain on Daylight Saving Time permanently. The Russians have had some fun claiming that they’ve permanently banned winter from Russia. In the western region of Russia (Moscow, St Petersburg, etc.) the time zone will remain GMT+4 year-round.

Overall, Russia spans 9 time zones from GMT+12 (on their Pacific coast) to GMT+4 (at their border with Latvia) — but, they skip the GMT+5 time zone, so they actually use 8 of the 9 time zones.

9. The very best website for finding accurate, reliable time-zone and time-conversion information (in my opinion) is — timeanddate.com

That site was used to check (and double-check) all of the times, and time zones, shown in the Table, above. If you find errors in the Table, no doubt the fault will be mine (or yours), not the fault of the timeanddate.com website.

6

On Sunday, September 25, New Zealand will go onto Daylight Saving Time.

Beginning with the opening of the retail forex market in New Zealand on Monday morning (Sunday afternoon, New York time), and continuing for one week:

• The opening and closing times of the New Zealand Trading Session will change by one hour for all forex traders
EXCEPT traders in New Zealand.

• The opening and closing times of the other six Trading Sessions will remain unchanged for all forex traders
EXCEPT traders in New Zealand.

The Table of Forex Trading Sessions has been updated to reflect these changes. The updates are highlighted in yellow.
Notes following the Table explain the format of the Table, and how to use it.

303×1080

Notes:

1. The Table above lists the opening time and closing time of the normal business day in each of the 7 principal forex trading markets.

2. Each horizontal line in the Table refers to a particular GMT time zone. The times shown on that horizontal line are local times in that time zone.

3. If you know your current GMT time zone (accounting for daylight saving time, where applicable), you can use the upper portion of the Table to find opening and closing times in 7 markets. Those times are current in your time zone.

4. If you do not know your current GMT time zone (accounting for daylight saving time, where applicable), use the lower portion of the Table to find the correct time zone for your location, for this particular time of year. Then, refer to your GMT time zone in the upper portion of the Table, and read the current opening and closing times in 7 markets.

5. The next revision to the Table will occur in one week, when portions of Australia (including the financial centers in Sydney and Melbourne) will go onto Daylight Saving Time.

6. The times and time zones shown in the Table have been verified at timeanddate.com — If you find errors in this Table, please let me know, either by PM or by posting here.

7

Clint,

Thank you very much for posting all this information, very helpful and very kind of you.

ST

8

Good morning, Simon

I’m glad you find it to be useful.

Have a profitable day!

9

This is intresting thanks for spending the time to get all this info and makeing it available to all

10

+1 Thanks Clint

11

On Sunday, October 2, the following time zone changes will take place:

• In the southern hemisphere, southeastern Australia (Sydney, Melbourne, Canberra, Adelaide, Hobart, etc.) will go onto Daylight Saving Time.

• In the northern hemisphere, Israel will return to Standard Time.

Then, on Sunday, October 16, Brazil (in the southern hemisphere) will go onto Daylight Saving Time.

For forex traders everywhere in the world, the opening and closing times of one, or more, of the 7 principal forex trading sessions will be affected by the time zone changes listed above.

For each individual trader, the number of sessions affected will depend on your location (your GMT time zone).

The Table of Forex Trading Sessions has been updated to reflect these changes. The updates are highlighted in yellow.

If you are unclear about how to use the Table, scroll back to posts #2 and #3 on this thread, and review the Notes.
They will tell you everything you need to know.

The next revision to the Table will occur in 4 weeks, when all of Europe, the U.K., Ireland, and Mexico will return to Standard Time.

293×1080

12

Thanks Clint for all the effort, it’s very interesting.

I would guess the 2 changes that will have the biggest impact to traders would be the UK and US changes, since those would be the ones that shift the candles around.

I bet this causes havoc for robot traders but probably not so much for discretionary methods.

13

Without a doubt.

And, along with the U.K., all of Europe (3 time zones) will adjust their clocks at the same time.

Europe and the U.K. combined account for 54% of total worldwide foreign exchange volume.

And the U.S. and Canada combined account for 19%.

So, a lot of trading will be impacted.

Well, I can’t comment on the re-programming that robot-users might have to do.

But, as for discretionary traders, they can be tripped up badly by not taking account of these changes.

Here’s an example.

A very popular thread on this forum is this one — 301 Moved Permanently

Most of the strategies being taught on that thread involve trading the opening and/or the closing of the biggest forex sessions: the Zurich (European) Session, the London Session and the New York Session.

Between Sunday, October 30, and Friday, November 4 —

• for a trader in the U.S., the Zurich and London Sessions will not open or close at their normal times; and

• for a trader in Europe or the U.K., the New York Session will not open or close at its normal times.

The good news is that beginning on Sunday, November 6, all that silliness will be behind us, and those three sessions will open and close at the times we have all become familiar with:

• Zurich Session: 8am-5pm Zurich time, 7am-4pm London time, and 2am-11am New York time

• London Session: 9am-6pm Zurich time, 8am-5pm London time, and 3am-noon New York time

• New York Session: 2pm-11pm Zurich time, 1pm-10pm London time, and 8am-5pm New York time.

14

On Sunday, October 30, the following regions and countries will return to Standard Time:

• All of eastern, central and western Europe.

• The U.K., Ireland, and the English Channel Islands.

• Greenland; and most of Mexico.

The Table of Forex Trading Sessions has been updated to reflect these changes. The updates are highlighted in yellow.

If you are unclear about how to use the Table, scroll back to posts #2 and #3 on this thread, and review the Notes.
They will tell you everything you need to know.

The next revision to the Table (the last change in 2011) will occur in 1 week, when the U.S. and Canada will return to Standard Time.

15

As always thanks Clint for the update. Especially for those of use who live in country’s that do not observe daylight savings it makes my life a lot easier and keeps me out of trouble. Cheers and good pippin.

16

Thanks for the feed-back. I’m glad to help.

17

On Sunday, November 6, the U.S. and Canada will return to Standard Time.

Also on that date, Bermuda and Bahamas will return to Standard Time.

The Table of Forex Trading Sessions has been updated to reflect these changes. The updates are highlighted in yellow.

If you are unclear about how to use the Table, scroll back to posts #2 and #3 on this thread, and review the Notes.
They will tell you everything you need to know.

There will be no further changes to the Forex Trading Sessions until March 2012.

291×1080

18

Later today, I’d like to post a “cleaned-up” copy of the Table of Forex Trading Sessions.

There won’t be any changes to times, time zones, or geographical info.

I’ll just be removing the yellow highlights, abbreviating the Notes, and changing the heading slightly.

19

294×1080

Notes:

  1. The Table above lists the opening time and closing time of the normal business day in each of the 7 principal forex trading markets.

  2. Each horizontal line in the Table refers to a particular GMT time zone. The times shown on that horizontal line are local times in that time zone.

  3. If you know your current GMT time zone (accounting for daylight saving time, where applicable), you can use the upper portion of the Table to find opening and closing times in 7 markets. Those times are current in your time zone.

  4. If you do not know your current GMT time zone (accounting for daylight saving time, where applicable), use the lower portion of the Table to find the correct time zone for your location, for this particular time of year. Then, refer to your GMT time zone in the upper portion of the Table, and read the current opening and closing times in 7 markets.

  5. For additional Notes on the Table (and on time zones, in general), scroll back to posts #1 and #2 on this thread.

20

Over the next few weeks, [I]Daylight Saving Time[/I] changes will occur, as shown below:

[B]Key time-change dates — February / March / April 2012[/B]

Feb 26 — Brazil — will return to Standard Time

Mar 11 — Chile — will return to Standard Time

U.S. (including Alaska), Canada (including Nova Scotia), Bermuda and Bahamas — will go onto DST

Mar 25 — e. Europe, c. Europe, Portugal, Channel Islands, U.K., Ireland and Greenland — will go onto DST

Mar 30 — Israel — will go onto DST

Mar 31 — New Zealand and s.e. Australia — will return to Standard Time

Apr 1 ----- Mexico — will go onto DST

[B]I will update the Table of Forex Trading Sessions on three Fridays, as follows:[/B]

Mar 9 — [B]New York Session update[/B] — effective dates: Mar 11 - Mar 23

this update will include the changes occuring on Feb 26 and Mar 11

Mar 23 — [B]London Session and Zurich Session updates[/B] — effective dates: Mar 25 - Mar 30

this update will include the changes occuring on Mar 25

Mar 30 — [B]Sydney Session and Wellington Session updates[/B] —effective dates: Apr 1 - Sep 28

this update will include the changes occuring on Mar 30, Mar 31 and Apr 1

Each update will follow the format previously established on this thread, and should look very familiar to you.

21

Wow, Clint … you’ve spent a lot of time and effort on this, kudos. :slight_smile:

Personally, I prefer to use an indicator or one of the reliable websites showing session times to keep up with DST changes.
It’s less hard on my brain than an elaborate list. :smiley:

Cheers,
O.

23

Wow, thanks for the great info. Bookmarked!

24

On Sunday, March 11, the U.S. and Canada will go onto Daylight Saving Time.

Also, on March 11, Bermuda and Bahamas will go onto Daylight Saving Time, and Chile will return to Standard Time.

Brazil returned to Standard Time on February 26.

The Table of Forex Trading Sessions has been updated to reflect these changes. The updates are highlighted in the Table in yellow. This update will be effective for the next 2 weeks, at which time a new update will be posted.

The opening and closing times of the New York Session will change in every GMT time zone. This is shown with yellow highlighting in the upper portion of the Table.

In the lower portion of the Table, geographical locations whose GMT time zones are changing are highlighted in yellow. If your location is highlighted, the opening and closing times of at least 6 of the 7 Forex Trading Sessions will change for your time zone.

If your location is not highlighted in yellow in the lower portion of the Table, your GMT time zone is not changing at this time. However, in your time zone, the opening and closing times of the New York Session will change, as noted above.

If your location is marked with an asterisk (*), then your location does not observe Daylight Saving Time, and your GMT time zone will not change throughout the year. However, the opening and closing times of the New York Session will change in your time zone, as noted above.

If your location does not appear in the Table (e.g. Malta, Morocco, Newfoundland, Ecuador, Samoa, etc.), you can refer to this — Time Zone Map — to find your current GMT time zone.

Notes below the Table describe how to use it.

294×1080

Notes:

1. The Table above lists the opening time and closing time of the normal business day in each of the 7 principal forex trading markets.

2. Each horizontal line in the Table refers to a particular GMT time zone. The times shown on that horizontal line are local times in that time zone.

3. If you know your current GMT time zone (accounting for daylight saving time, where applicable), you can use the upper portion of the Table to find opening and closing times in 7 markets. Those times are current in your time zone.

4. If you do not know your current GMT time zone, use the lower portion of the Table to find the correct time zone for your location, for this particular time of year. Then, refer to your GMT time zone in the upper portion of the Table, and read the current opening and closing times in 7 markets.

5. For additional Notes on the Table (and on time zones, in general), scroll back to post #2 on this thread.