Forex trading runs 24 hours a day across different time zones, but each major market has its own opening and closing times

The foreign exchange market does not have a single opening bell. Instead, it moves continuously from one region to the next as the business day begins in each financial center. The market opens in Asia first, then moves to Europe, then to North America, and cycles back. If you trade forex, you need to know when each session starts because trading volume, volatility, and spreads (the cost difference between buy and sell prices) change dramatically between sessions.

The four major trading sessions are Tokyo, London, New York, and Sydney. Each one overlaps slightly with the next, creating periods when two sessions are active at the same time. These overlap windows often see the highest trading volume and the tightest spreads, which matters if you are watching your transaction costs.

Key Takeaways

  • The Tokyo session opens at 7:00 p.m. Eastern Time on Sunday and runs until 4:00 a.m. Eastern Time on Monday.
  • The London session opens at 3:00 a.m. Eastern Time and closes at 12:00 p.m. Eastern Time, overlapping with both Tokyo and New York.
  • The New York session opens at 8:00 a.m. Eastern Time and closes at 5:00 p.m. Eastern Time, the most active period for major currency pairs.
  • Sydney opens at 5:00 p.m. Eastern Time on Sunday and closes at 2:00 a.m. Eastern Time on Monday, the smallest session by volume.
  • Times shift by one hour during daylight saving time transitions, and not all countries observe daylight saving on the same dates.

Tokyo Session: Sunday Evening Through Monday Morning Eastern Time

The Tokyo session, also called the Asian session, opens at 7:00 p.m. Eastern Time on Sunday evening and closes at 4:00 a.m. Eastern Time on Monday morning. This is the first major market to open each week. The session is based on Japan Standard Time, which does not observe daylight saving time, so these times stay the same year-round.

Trading volume in Tokyo is lower than in London or New York, but it is still significant because it includes traders from across Asia — not just Japan. The Japanese yen, Australian dollar, and New Zealand dollar tend to move more during this session. Spreads are wider than in London or New York because fewer traders are active.

London Session: Early Morning Through Midday Eastern Time

The London session opens at 3:00 a.m. Eastern Time and closes at 12:00 p.m. Eastern Time. London is the largest forex trading center in the world by volume, so this session sees the tightest spreads and the most liquidity. The session overlaps with the end of Tokyo and the beginning of New York, creating two high-volume windows.

London observes Greenwich Mean Time in winter and British Summer Time in summer. When the United Kingdom switches to British Summer Time (usually the last Sunday in March), the London session opens at 2:00 a.m. Eastern Time instead of 3:00 a.m. The exact time depends on whether the United States is also observing daylight saving time at that moment, because the two countries do not always switch on the same date.

New York Session: Morning Through Late Afternoon Eastern Time

The New York session opens at 8:00 a.m. Eastern Time and closes at 5:00 p.m. Eastern Time. This is the most active session for major currency pairs like EUR/USD and GBP/USD because it overlaps with London and because the United States dollar is involved in nearly 90 percent of all forex trades. Spreads are at their tightest during this window.

The New York session observes Eastern Time, which shifts between Eastern Standard Time and Eastern Daylight Time. When daylight saving time begins (usually the second Sunday in March), the session opens at 8:00 a.m. EDT instead of 8:00 a.m. EST, but the clock time stays 8:00 a.m. — only the label changes. This can create confusion when comparing to other sessions because London and New York do not always switch on the same date.

Sydney Session: Sunday Evening Through Monday Morning Eastern Time

The Sydney session opens at 5:00 p.m. Eastern Time on Sunday and closes at 2:00 a.m. Eastern Time on Monday. Sydney is the smallest of the four major sessions by trading volume. It is the first session to open each week and sets the tone for the week ahead, but spreads are wider and liquidity is lower than in the other sessions.

Australia observes Australian Eastern Time, which includes daylight saving time. When Australia switches to daylight saving (usually the first Sunday in October), the Sydney session opens one hour earlier in Eastern Time. This does not align with when the United States observes daylight saving, so the overlap between Sydney and New York changes depending on the time of year.

How Daylight Saving Time Affects Opening Times

Daylight saving time creates confusion because not all regions switch on the same date, and some do not observe it at all. The United States switches in mid-March and mid-November. The United Kingdom switches on the same dates as the United States. Australia switches in early October and early April. Japan does not observe daylight saving time at all.

When only some regions have switched, the time difference between sessions changes temporarily. For example, in mid-March when the United States switches to daylight saving but the United Kingdom has not yet, the London session opens at 2:00 a.m. EDT instead of 3:00 a.m. EDT. A week later, when the United Kingdom switches, it opens at 3:00 a.m. EDT again. If you trade across these transition dates, you need to check your broker's updated schedule.

Most forex brokers publish updated session times during daylight saving transitions. Check your broker's website or trading platform for the exact times in your time zone, especially if you trade during the weeks when regions are switching at different times.

Overlap Windows and Trading Volume

The most active trading happens during overlap windows, when two sessions are open at the same time. The Tokyo-London overlap runs from 3:00 a.m. to 4:00 a.m. Eastern Time and sees moderate volume. The London-New York overlap runs from 8:00 a.m. to 12:00 p.m. Eastern Time and is the most active window of the entire week. The Sydney-Tokyo overlap is brief and sees lower volume.

During overlap windows, spreads tighten because more traders are competing, which lowers the cost of entering and exiting trades. If you are sensitive to transaction costs, trading during overlaps can save you money. If you prefer lower volatility, you may want to avoid overlaps because price movements are faster and larger.

Frequently Asked Questions

What time does forex open on Monday?

Forex opens at 7:00 p.m. Eastern Time on Sunday evening with the Tokyo session. The New York session, which most U.S. traders think of as the "opening," begins at 8:00 a.m. Eastern Time on Monday morning. The market never fully closes — it just moves from one region to the next.

Is forex open on weekends?

Forex is closed on Saturday and Sunday in most markets. The Tokyo session opens Sunday evening at 7:00 p.m. Eastern Time, which is technically the start of the trading week. The market closes Friday at 5:00 p.m. Eastern Time in New York and does not reopen until Sunday evening.

What time does forex close on Friday?

The New York session closes at 5:00 p.m. Eastern Time on Friday, which is when most forex trading stops for the week. Some brokers may allow trading for a short time after, but liquidity drops sharply. The market does not reopen until the Tokyo session begins at 7:00 p.m. Eastern Time on Sunday.

Do all brokers use the same session times?

Most brokers use the same session times because they are based on when the actual financial centers open. However, some brokers may close their platforms slightly before or after the official session close, or they may have different rules for certain currency pairs. Check your broker's trading hours page to confirm the exact times for your account.

How do I convert forex session times to my time zone?

Find your time zone's offset from Eastern Time, then add or subtract that number of hours from the session times listed here. For example, if you are in Pacific Time (three hours behind Eastern), the New York session opens at 5:00 a.m. Pacific Time instead of 8:00 a.m. Eastern Time. Your broker's platform usually displays session times in your local time zone automatically.