Forex Trading Sessions in Portugal
The best time to trade Forex in Europe, including Portugal, is during the London and New York trading overlap, typically between 8:00 am and 12:00 pm EST, which allows for high liquidity and volatility.
Ever wondered when the perfect moment to dive into the Forex market in Portugal is? Timing is crucial in Forex trading. It can make the difference between a profitable trade and a disastrous loss.
In this article, we'll unravel the mystery of the best time to trade Forex in Portugal. Prepare to discover when the market conditions are just right for you to make your move.
Time Zones In Portugal
In Portugal, you'll be dealing with two time zones: Western European Time (WET) and Western European Summer Time (WEST), depending on whether daylight saving time is being observed or not. These time zones in Portugal play a significant role in determining the Forex market hours, and subsequently, the best time to trade Forex.
WET is the same as Coordinated Universal Time (UTC) and is typically in effect from the last Sunday in October to the last Sunday in March. During this period, Portugal Forex market hours are generally active from 8:00 am to 5:00 pm local time.
On the other hand, WEST is UTC+1 and runs from the last Sunday in March to the last Sunday in October. During WEST, Forex trading hours in Portugal usually extend from 7:00 am to 4:00 pm local time.
These changes in time zones and trading hours can affect the volatility of the Forex market. High volatility periods can present both opportunities and risks. Therefore, understanding the time zones and adjusting your trading schedule accordingly is crucial to effective Forex trading in Portugal.
Remember, the best time to trade is when the market is most active and has the highest volume of trades.
What is the best time to trade Forex in Portugal?
Looking to optimize your Forex trading strategy in Portugal? Our TU research will shed light on the best times for Forex day trading in this region, ensuring you make the most of your investment.
We'll also guide you through the top Forex pairs to trade during Portugal's trading sessions, helping you seize profitable opportunities.
Best time to trade Forex - TU research
According to our research, the most profitable time to trade Forex is typically between 06:00-12:00 GMT and 18:00-00:00 GMT.
When determining the best time to trade Forex in Portugal, it's not just about the time, but also about the day. Wednesday and Thursday are your best bet, with Friday also offering good liquidity.
Keep an eye on key market indicators and stay tuned for significant statistical data releases. Be aware of discussions between global central banks and country-specific economic indicators.
Knowing the best time to trade Forex - TU Research emphasizes - can be the difference between a successful trade and a missed opportunity. Thus, it's beneficial to consider these factors to optimize your trading strategy.
Best time for Forex day trading in Portugal
You'll want to focus your day trading activities during the peak liquidity times to maximize potential profits. Liquidity, indicating the market's ability to handle large transactions without affecting the price, significantly influences your trading performance.
When it comes to Forex trading sessions, Portugal aligns with the London session (8:00 AM to 4:00 PM GMT), considered the most liquid and volatile. It overlaps with the New York session (1:00 PM to 10:00 PM GMT), providing the best time for Forex day trading in Portugal.
Generally speaking, you should aim to not start Forex trading before 8:00 AM GMT and to finish before 10:00 PM GMT, however, the ideal time is between 1:00 PM and 4:00 PM GMT.
Forex Trading Session |
Time (GMT) |
|---|---|
London |
8:00 AM - 4:00 PM |
New York |
1:00 PM - 10:00 PM |
Trading during these times may enhance your opportunity to profit while minimizing potential losses.
Best Forex pairs to trade in Portugal trading sessions
During the Portugal trading sessions, it's ideal to focus on pairs like EUR/USD, GBP/USD, EUR/GBP, and USD/CHF as they're among the most actively traded. You'll experience increased volatility during these Forex time sessions, which can lead to higher potential profits.
However, you would do well to remember that increased volatility can also mean increased risk. The London session, which overlaps with Portugal's trading hours, is especially active. If you're strategy-driven and prefer a busy market, these are the best Forex pairs to trade in Portugal trading sessions.
The high activity means more opportunities, but it's essential to stay informed and make calculated decisions. Always keep an eye on economic calendar events, as they can significantly impact the Forex market.
Time to pause Forex trading in Portugal
In Portugal, it's not advisable to trade Forex during the weekends and holidays due to low liquidity. The Forex market hours are limited during these times, leading to unpredictable price movements and higher risk. Just like in any other financial market, trading when liquidity is low can result in slippage, which is when your orders are not filled at the price you wanted.
Other times to avoid trading include:
The rollover period: This typically happens at 5 p.m. EST when the Forex market settles all transactions for the day. Trading at this time can lead to higher transaction costs.
Major news releases: Economic events and news can cause significant volatility in the Forex market. It's often better to wait until the market stabilizes before trading.
The opening and closing hours: The first and last hours of trading can be particularly volatile, especially when the Forex market opens in Portugal at 8 a.m. local time.
Remember, timing is critical in Forex trading. While there are certainly profitable opportunities throughout the day, it's essential to be aware of the conditions that can affect market volatility and liquidity. Know when to trade and when to pause.
Best Forex brokers in Portugal
RoboForex
The first on the list is RoboForex, which turns out to be the best Forex broker for beginners and professional traders in Turkey. While RoboForex complies with all the requirements of the local regulator, it has an international license to provide currency trading services. RoboForex has licenses from FSC Belize and a European license from CySEC (license No. is 191/13 Robomarkets Ltd.).
Also, it offers attractive trading conditions for Turkish clients with a narrow spread of 0 pips due to direct access to liquidity providers in ECN systems. Again, traders seeking the best time to trade Forex in Turkey can benefit from the educational resources available on the platform. This material helps traders improve their skills and knowledge, including a wide range of analytics.
In a nutshell, RoboForex is a well-known broker with a wide range of products, account types, and no commission fees for withdrawals and account replenishments. Additionally, there are no trading restrictions or time limits on open trades.
Pocket Option
Pocket Option was launched in 2017. The company has the team of professional traders, as well as IT and FinTech experts. The broker gives its clients access to trade currency pairs, commodities, stocks, cryptocurrencies, and indices. Pocket Option provides its clients with access to more than 100 global trading assets. To operate in the financial markets, the company has developed its own unique trading platform. In addition, Pocket Option clients can trade in MT5. The broker’s service is available in more than 95 countries and regions globally. Pocket Option’s top priority is the high quality of customer service, constant improvement of trading technologies, and financial innovations. The broker also offers profitable bonus programs.
Tickmill
Trading conditions are suitable for both novice traders and professionals. The broker offers several account types. The broker does not charge fees on its Classic account, which is a good option for novice traders, with a transparent spread. Pro and VIP are professional ECN accounts with near-zero spread, instant order execution, and a fixed fee per lot. These accounts are suitable for those who work with large trading volumes and use high-frequency trading strategies. The minimum deposit for Classic and Pro accounts is $100, regardless of the trader’s jurisdiction.
Leverage depends on the broker’s subdivision. In Europe, the conditions are more stringent. Leverage for retail clients is up to 1:30, depending on the asset type. It can increase up to 1:300 only once the "Qualified/Professional" status is obtained. For traders of other jurisdictions, the conditions are more loyal. Leverage is up to 1:500, regardless of the status. Almost any assets, except for ETFs and derivatives, are available for trading (exception: futures are available in the UK). Payment methods include bank systems and e-wallets. Cryptocurrency deposits are available for traders outside Europe.
Conclusion
So, you've been on this grand voyage through the Forex seas in Portugal. But remember, not all hours are golden for trading. There's a sweet spot, when New York, London, and Lisbon clocks chime together.
Yet, even the most seasoned sailors need to dock their ships. So, when the market's whispers fade, take a break. It's not just about sailing, it's about finding the perfect tide.
FAQs
What is the best time to trade Forex in Europe?
The best time to trade Forex in Europe is during the overlap of the London and New York trading sessions, usually around 8:00 AM to 12:00 PM EST, which offers high liquidity and volatility.
The U.S./London markets overlap (8 a.m. to noon EST) has the heaviest volume of trading and is best for trading opportunities. Forex trends often originate in London as well, which is a great thing for technical traders to keep in mind. Technical trading involves analysis to identify opportunities using statistical trends, momentum, and price movement.
Can you trade Forex in Portugal?
Yes, you can trade Forex in Portugal. Trading Forex (currencies) in Portugal is popular among residents. While recommended, Forex brokers are not required to become authorized by the Comissão do Mercado de Valores Mobiliários (CMVM) to accept residents of Portugal as customers. When choosing a Forex broker, it’s good practice to go with an authorized one. If you’re a newcomer, here’s our guide for choosing the best Forex broker for beginners.
What is the best time period to trade Forex?
The best time period to trade Forex is when the market is most active. When more than one of the four markets are open simultaneously, there will be a heightened trading volume, which leads to more significant price moves and more significant opportunities for traders to make a profit.
What are the best times to trade euro?
The best times to trade the euro are during the overlap of the New York and London sessions, between 12:00 PM and 4:00 PM GMT, and during the release of economic data. You may also look into the time of open hours at equity, options, and futures exchanges. Eurozone monthly economic data is generally released at 2 a.m. Eastern Time (ET) in the United States.
The time segment from 30 to 60 minutes prior to these releases and one to three hours afterward highlights an enormously popular period to trade EUR pairs because the news will impact at least three of the five most popular crosses. It also overlaps the run-up into the U.S. trading day, drawing in significant volume from both sides of the Atlantic.
Team that worked on the article
Vuk stands at the forefront of financial journalism, blending over six years of crypto investing experience with profound insights gained from navigating two bull/bear cycles. A dedicated content writer, Vuk has contributed to a myriad of publications and projects. His journey from an English language graduate to a sought-after voice in finance reflects his passion for demystifying complex financial concepts, making him a helpful guide for both newcomers and seasoned investors.
Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO).