Three Worst Times to Trade Forex

WikiFX Strategy (4 Jan.) - The forex market is a dynamic one where currency prices are always fluctuating. Thus traders should stay alert to the worst trading times.

Lessons from experts who have traded forex for 20 years on the WikiFX (bit.ly/wikifxIN)

1. Immediately before or after high-impact news

Market volatility is what makes traders money, but attempting to trade an event could lead to a random outcome. After all, speculative tradings are more or less emotionally driven. It's best to keep an eye on signals the market generates on the higher time frames, namely the daily and monthly charts.

2. Mondays and Fridays

Mondays are the first trading session in the new week, when the markets are figuring out which direction they should head for the coming week. On Fridays, when the market is highly volatile, slippage usually occurs while slippages may widen. The overall trends show that the market is most active and most profitable from Tuesday to Thursday. Besides, trading during the session overlaps may be the preferable option since forex trading centers in the world are open in different time zones.

3. When you aren't in the right mental state

Trading is a game of mental discipline. Knowing when to enter a trade and when not is important. Its better to miss a setup than to risk any capital in fragile liquidity conditions.