Sessions and changing liquidity

The market can feel quiet at one hour and crowded at another. Let’s ask who is active, rather than trust the clock alone.

Forex activity moves between financial centres as their working days overlap. Asian, European and North American sessions are useful descriptions of activity, not separate markets with guaranteed daily behaviours. A session name does not tell you which direction a currency will move.

Liquidity and volatility are different. Liquidity concerns the ability to transact size at available prices; volatility describes how much price changes. Active periods can still produce abrupt moves, while quiet periods can contain wide spreads and difficult execution.

Use a calendar that displays an explicit timezone. London and New York daylight-saving changes can shift session timing in Sri Lanka, which does not change its clocks. Check holidays, broker maintenance and product hours as well as familiar opening labels.