# Forex Trading Sessions > Forex trades 24 hours a day, five days a week, across four main sessions. Learn session times, overlaps, which pairs move when and how sessions affect spreads. Source: https://learn.tradelabsai.com/forex/forex-trading-sessions/ Track: Forex · Level: Beginner · Updated: 2026-10-03 Publisher: TradeLabs AI (https://tradelabsai.com). Education, not financial advice. Cite as: TradeLabs Learn, "Forex Trading Sessions", https://learn.tradelabsai.com/forex/forex-trading-sessions/ The forex market has no single exchange and no closing bell during the week. Trading follows the sun from one financial centre to the next, from Sunday evening to Friday evening New York time. Activity, volatility and spreads change a lot across the day depending on which centres are open. Knowing the sessions helps traders pick the right times to trade their pairs and avoid thin, expensive periods. The general idea of sessions across markets is in [Trading Sessions](https://learn.tradelabsai.com/markets/trading-sessions/). ## The four main sessions Times are approximate and shift with daylight saving changes. | Session | Approximate hours (UTC) | Main centres | Character | |---|---|---|---| | Sydney | 21:00 to 06:00 | Sydney, Wellington | Quiet; week opens here on Monday morning local time | | Tokyo (Asian) | 00:00 to 09:00 | Tokyo, Singapore, Hong Kong | Moderate; yen and Australasian pairs active | | London (European) | 07:00 to 16:00 | London, Frankfurt, Zurich, Paris | Busiest; largest share of global turnover | | New York (North American) | 12:00 to 21:00 | New York, Toronto | Active, especially the overlap with London | The Bank for International Settlements survey shows the UK accounts for the largest share of global forex trading, about 38% in 2022, followed by the United States at about 19%. See [FX Liquidity](https://learn.tradelabsai.com/forex/fx-liquidity/). ## The London and New York overlap From roughly 12:00 to 16:00 UTC (8:00 a.m. to noon New York time), both London and New York are open. This is typically the most liquid and volatile period of the day, especially for EUR/USD, GBP/USD and USD/CHF. Major US economic data is released at 8:30 a.m. New York time during this overlap, often causing the day's biggest moves. See [Trading Economic Releases](https://learn.tradelabsai.com/macro/trading-economic-releases/). ## Which pairs move when | Session | Most active pairs | |---|---| | Sydney and Tokyo | AUD/USD, NZD/USD, USD/JPY, AUD/JPY | | London | EUR/USD, GBP/USD, EUR/GBP, USD/CHF, EUR/JPY | | New York | USD pairs, USD/CAD, EUR/USD, GBP/USD | **Example: Average ranges by session** A trader measures EUR/USD's average hourly range over a year. During the late Asian session, the average hourly range is around 5 to 8 pips. During the London open and the London New York overlap, it is often 15 to 25 pips. Spreads also differ: under 1 pip in the overlap, sometimes 2 pips or more in the hour around the daily rollover. A breakout strategy tested only on London hours may fail if traded in the quiet Asian session. Figures illustrate typical patterns; measure your own pair. See [Session, Weekly and Monthly Levels](https://learn.tradelabsai.com/price-action/session-levels/). ## Key times in the trading day - **Sunday open:** liquidity is thin, and prices can gap from Friday's close after weekend news. - **Tokyo fix (9:55 a.m. Tokyo time):** a reference rate used by Japanese companies. See [FX Fixings: London and Tokyo](https://learn.tradelabsai.com/forex/fx-fixings-london-and-tokyo/). - **London open (around 07:00 to 08:00 UTC):** volume surges; ranges set in Asia are often broken. - **London 4 p.m. fix (WM/Reuters):** a benchmark used by funds for valuations; can cause sharp moves in the minutes around it. - **New York close (5:00 p.m. New York time):** daily cut off for rollover; spreads widen in the following hour. See [Rollover and Swap in Forex](https://learn.tradelabsai.com/forex/rollover-and-swap-in-forex/). ## Session based strategies - **Asian range breakout:** mark the high and low of the Asian session and trade breaks at the London open. - **London open momentum:** trade the direction of the first strong moves after London opens. - **News trading in the overlap.** See [News Trading](https://learn.tradelabsai.com/strategies/news-trading/). - **Range trading in quiet hours,** with tight risk control. See [Range Trading](https://learn.tradelabsai.com/strategies/range-trading/). ## Weekends and holidays Forex closes from Friday evening to Sunday evening New York time. Holidays in major centres, such as Christmas, New Year and US Thanksgiving, bring thin liquidity and wider spreads. Japanese Golden Week and Chinese holidays reduce Asian liquidity. ## Common mistakes - **Trading during the rollover hour** when spreads are widest. - **Applying strategies outside the session** they were designed for. - **Ignoring daylight saving shifts,** which move session times relative to your clock. ## Frequently asked questions ### What are the forex trading sessions? The Sydney, Tokyo, London and New York sessions, which together cover 24 hours a day from Sunday evening to Friday evening New York time. ### What is the best time to trade forex? For most major pairs, the London and New York overlap, roughly 12:00 to 16:00 UTC, has the highest liquidity and volatility. ### Why do forex spreads widen at 5 p.m. New York time? Because it is the daily cut off and rollover time, when many banks reset systems and liquidity is thinnest. Next, compare spot forex with currency futures in [Forex vs Futures](https://learn.tradelabsai.com/forex/forex-vs-futures/). ## Sources - Bank for International Settlements, [Triennial Central Bank Survey](https://www.bis.org/statistics/rpfx22.htm) ## Continue learning - Next lesson: [Forex vs Futures](https://learn.tradelabsai.com/forex/forex-vs-futures/) - Previous lesson: [Rollover and Swap in Forex](https://learn.tradelabsai.com/forex/rollover-and-swap-in-forex/) - Related: [Rollover and Swap in Forex](https://learn.tradelabsai.com/forex/rollover-and-swap-in-forex/): Holding a forex position overnight earns or pays interest called rollover or swap. Learn how it is calculated, triple Wednesday, swap free accounts and carry. - Related: [Trading Sessions](https://learn.tradelabsai.com/markets/trading-sessions/): Markets have sessions with different liquidity and volatility. Learn stock market hours, extended hours, the forex sessions and how timing affects your trades. - Related: [Session, Weekly and Monthly Levels](https://learn.tradelabsai.com/price-action/session-levels/): Session levels like the opening range, previous close and weekly open guide intraday and swing traders. Learn the key levels, how to mark them and trade them. - Related: [FX Liquidity](https://learn.tradelabsai.com/forex/fx-liquidity/): Forex is the largest market in the world, but liquidity varies by pair, time and venue. Learn how FX is structured, who provides liquidity and when it dries up. - Related: [FX Fixings: London and Tokyo](https://learn.tradelabsai.com/forex/fx-fixings-london-and-tokyo/): FX fixings are daily benchmark exchange rates used by funds and companies. Learn how the London 4pm and Tokyo fixes work, the flows around them and the 2013 scandal. - Related: [Currency Pairs: Majors, Minors and Exotics](https://learn.tradelabsai.com/forex/currency-pairs/): Forex trades currencies in pairs, like EUR/USD. Learn base and quote currencies, how to read a quote, majors, crosses and exotics, and what moves each pair.