How much does the schedule really influence the effectiveness of your operations?

For me, the key is to identify whether your strategy depends on high volatility or slow, controlled movements. Not everything depends on the session, it depends on your approach.

You're right. A scalper, for example, needs yes or yes action on the price, while a swing trader can open positions at more relaxed times and not suffer so much.

And let's not forget the spreads. Many brokers spread spreads brutally out of schedule. More than one has stared at how their SL jumped for no apparent reason.

Exactly! Another reason to operate only in active hours. Not everything is price, the cost of trading matters more than most want to admit.

Good debate, gentlemen. Let each of you draw your conclusions, but if you continue to lose operation at three o'clock in the morning, don't say you weren't warned.

After analyzing for months different market behaviors, I can affirm that already operating in times of greater volume and volatility has solid foundations in trading statistics. During the sessions of London and New York, the main financial centers are active, which generates a greater institutional participation. This not only increases liquidity, but also creates more defined and less erratic price movements, something fundamental for any strategy based on technical analysis. When the market is active, the price patterns such as breaks, setbacks or continuation formations tend to be respected more faithfully. This happens because the high participation filters many of the manipulations that tend to be in times of low activity, where little money is needed to move the price abruptly. Instead, when the supply and demand are wide and balanced, the trade signals acquire greater reliability. In addition, the operating costs are simply reduced in main times. The majority of brokers adjust their expected earnings, although the transactional ones are in the active sessions, which improves the risk/benefit ratio.

Thanks for the piece of explanation. You know what you're talking about!

But don't you think that in some cases the Asian session also offers good opportunities, especially at yen crossings?

Very good answer, congratulations. Now I understand better why I was always doing better in London than at 2 a.m.

Good contribution, but don't you think you overvalue volatility a little bit and forget the emotional management that also misses a lot in active hours?