Exploring the Different Trading Instruments and Associated Market Hours

As an investor in today’s world, you should understand that it is possible to invest in a wide variety of different instruments. Truthfully, the investor’s first major decision is attempting to figure out precisely which instrument will provide them with the right environment and the most profitable returns. Each instrument is different and the risks involved fluctuate significantly. With this in mind, it is absolutely pertinent to familiarize yourself with the various instruments and their associated market trading hours. A great place I’ve found for monitoring commodities is CMC Markets. More details will be provided below for your consideration.

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Stock Market

The stock market is truly a unique beast, since various countries have their own exchanges. Unlike Forex and commodities, there is no universal stock market. This doesn’t mean that the stock market in one country will not impact the other, since it does frequently. However, they’re independent of one another and generally open and close at different times throughout the day. Therefore, if you wish to trade stocks, you will need to learn about the specific trading hours for your choice market.

For instance, you should know that New Zealand, Australia, Tokyo, and the United States each have their own exchanges. If you wish to trade a specific stock, which is on the United States’ NASDAQ, you would need to trade, during the NASDAQ’s trading hours. This can limit your trading opportunities, since stock exchanges do not run twenty-four hours a day.

Commodity Futures

If you’re interested in trading twenty-four hours a day, you may want to consider investing in Commodity Future. Although this type of investing instrument is generally classified as high-risk, a lot of investors have been able to generate a substantial amount from futures. At the same time, investors have the opportunity to keep their risks to a minute level, by strategically placing their trades. With commodities, the majority of markets have a night session, so it is generally possible to trade throughout the day and night.

Of course, there are a few individual exchanges and they vary from commodity to commodity. Therefore, it is pertinent to check with each, in order to learn about their specifics.

Trading In Treasuries

If you’re interested in keeping your risks to a minimum, you may want to consider trading in treasuries. This type of investment is very versatile and is available in numerous forms. The majority of treasury trades come with various benefits and the risks can vary greatly. Some treasuries can be very advantageous in a tax sense so wise investors will add a few to their portfolio.

In order to trade treasuries, you actually need to look at the various stock exchanges and their hours. Although treasuries are enormously different from stocks, they’re traded on the same markets, including the NYSE, CSE, and HEX. Unfortunately, it is not possible to trade treasuries twenty-four hours a day.

Forex Market Hours

If you are familiar with the Forex market, you know that it is open 24 hours a day, but most investors prefer to trade when the market is at its most active point. This gives them more opportunity to capture a good trade and make a huge profit. It is always a good idea to avoid the market, when it is slow, because this does not give much lead way on profit opportunities.

  • The New York trading hours – 8:00 a.m. to 5:00 p.m. EST
  • Sydney trading hours – 5:00 p.m. to 2:00 a.m. EST
  • Tokyo trading hours – 7:00 p.m. to 4:00 a.m. EST
  • London trading hours – 3:00 a.m. to 12:00 p.m. (noon) EST

It is important to note that there are a couple of sessions that overlap each other. These are listed below.

  • Tokyo and Sydney – between 7:00 p.m. – 2:00 a.m. EST
  • London and New York – between 8:00 a.m. – 12:00 p.m. (noon) EST
  • Tokyo and London – between 3:00 a.m. – 4:00 a.m. EST

Overlapping periods are normally when the trade volumes are at their highest point. Be sure to keep these hours in mind, because they offer more opportunities for good trading opportunity with higher returns.

Conclusion

If you are interested in Forex trading, be sure to check out the CMC Markets trading platform hours. There are great opportunities to earn big in the Forex market, but it does require a bit of experience and common sense to earn a big profit.

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