24-Hour Access to the World

When you choose to trade currencies, you’re choosing greater freedom in your trading। With the ability to trade forex 24 hours a day, 51/2 days a week with extreme liquidity, you participate when you want to, not when the market dictates.

The market is able to stay open 24 hours a day, 51/2 days a week, because trading begins with the open in Australia, and flows through the open and close of the major financial trading centers in Asia, Europe, the United States and back again to Australia.

The daily foreign currency trading volume is determined by which markets are open at any point in time. When international market open times overlap, such as when the U.S. and British market are open simultaneously, greater trading volume is seen, resulting in peak trading.

Forex market time open and volume(time display in GMT):-

NY- america 1pm GMT
UK 8am GMT
Euro 7am GMT
Japan 12am GMT

why forex? forex vs. futures

Remember that both futures and forex trading involve risk। Forex trading is not conducted on a regulated exchange and as a result, there are additional risks associated with forex trading।

Foreign exchange is the principal market of the world. Everything we do is valued in money, from physical goods to time spent to services performed. Money is the root of all pricing and is the basis of all trading. For example, in the futures market, if you wanted to trade coffee from Mexico using U.S. dollars, you would first have to convert your dollars to pesos. Since you have to start by exchanging a currency to trade something in a foreign market, forex is considered the principal market, and it is the one on which all others are based.

Although there are many differences between forex and futures trading, futures traders often find it easy to make the transition into forex trading. Market liquidity, pricing structure, available leverage and open hours are just some of the differences.

The forex market offers some of the smoothest trends available in any market. No other market comes close to the volume and participation in the forex market, making it a haven for traders seeking fewer price gaps and erratic spikes, and other choppy conditions found in lower volume markets such as futures or options. Because the market is only closed briefly on weekends, market gaps (although possible) are limited, which results in greater and more consistent liquidity.

Because of the trending nature of the forex market, it is appealing to both technical and fundamental traders. Fundamental traders monitor worldwide cash flows, and take mid-to-long term positions based on analysis of currency supply and demand. Technical traders look for repeating market patterns displayed on price charts, and may use indicators to help determine if a currency is overbought or oversold. The trends of the forex market provide ideal conditions for both types of analysis.

In forex, the price offered is a real-time price and it is the price at which you actually buy or sell. In futures, you buy or sell based on the last price traded (the tick price). Because futures go by tick prices, it is common that by the time your order is placed, the price at which you actually buy or sell may be different from the displayed tick price.

In forex trading, customers have one margin rate for trades placed 24 hours a day (3 PM – 3 PM). Depending on the size of the trade, your margin requirement can be less than 1 percent. In futures trading, the margin rate can vary throughout the day depending on market volatility, and is higher at night because the market is closed and brokers have to cover their risks. They gives you one margin rate all time for currency trading with no margin calls and no hassles, so that you can manage your own risk efficiently and simply.

The forex market is open 24 hours a day, 5.5 days a week - as a market closes in one time zone, another is opening in a different time zone. When the Pacific Rim markets such as Japan and Singapore begin to slow, the European markets of England, Switzerland and Germany begin. These forex markets are followed by the North American markets of the United States, Canada and Mexico. As the North American markets begin to slow down for the evening, the Pacific Rim starts their trading day again. This allows any trader in any time zone to trade forex any time, day or night.

In forex, there is no need to wait for the market to open when news has already hit the streets or to stop trading because the futures pits have closed for the day. This gives the forex trader added flexibility and continuous market opportunities that are not available in futures. Futures are traded when the exchange is open for the day. There is “after hours” trading in futures, but order size and type is limited and spreads are generally wider. This is because there is a higher risk and less ability to manage risk when the futures markets are unofficially open.