May 26 2020 1
Having realized that the forex market is complicated, traders must fully understand how it works. Understanding forex market is not just a matter of its workings; traders also need to opt for the best time frame. In reality, choosing the adequate time frame can help a trader to fulfil their goals. Basically, the best time to trade forex in South Africa can help South African traders recognize trends and trade entry points.
Types of time frames in forex market
Traders try to make use of various strategies that allow them to choose the right time frames for themselves. It would be of great significance to understand different trading styles in forex.
There are four major forex trading sessions: the Sydney session, the Tokyo session, the London session and the New York session, which together add up to 24 hours of a day. Here are the forex trading sessions in South Africa time:
|Session||GMT||South African time (GTM+2)|
|Tokyo||00:00 – 09:00||02:00 – 11:00|
|London||08:00 – 17:00||10:00 – 19:00|
|New York||13:00 – 22:00||15:00 – 00:00|
|Sydney||22:00 – 07:00||00:00 – 09:00|
Best time to trade position trading in South Africa
In fact, this type of time frame is quite varied depending on different trading methods. This can be fluctuated daily, monthly, or yearly depending on your long-term plan. It is evident that this approach can be ignored by forex beginners as it takes longer when their trades are recognized. As a result, it is not an ideal approach for traders when they want to optimize their time. You need to know when to trade forex in South Africa.
Traders can place positions on a weekly chart in many different ways when the trend has been completed on a monthly chart. Multitudes of traders expect to capitalize on price action for knowing movements, and then they can place positions.
Best time to trade swing trading in South Africa
You can expect to move a little bit shorter towards your approach since you gain a greater level of confidence on the long-term chart. It is highly advisable that you should be well aware of risk and capital management if you want to opt for a short time frame. Basically, this type of time frame enables you to gain benefits of both trading styles. Therefore, many forex traders prefer to utilize this trading time frame.
Unquestionably, traders should check their charts a few times a day so that they will recognize any movements of price in the market. Traders do not need to pay attention to the market when it comes to this trading frame.
The most advantageous aspect of this time frame is that traders will be able to focus on charts, which leads to chances of making profits. It can be recognized that traders can avoid negative effects of long-term trading since entries are positioned on daily charts.
Best time to day trade in South Africa
When it comes to the short-term trading time frame, it’s quite tricky for traders because tight stops. In fact, traders, especially new ones, might not make great benefits when trading short-term time frames if they do not have any experience with the two aforementioned trading frames.
Unquestionably, traders will be able to assess possible trends on hourly charts. The idea of trading short-term time frames should be considered carefully because of the high possibility of risks. It should be noted that the completion of trends, such as indicators or price action, allows traders to start their first positions.
Choosing the best time to trade forex in South Africa is crucially vital since it helps trades to avoid risks and gain profits. However, it’s highly suggested that they should have a greater insight into types of time frame first and then opt for when to trade forex in South Africa.