TU Experts Explored the Best New York Session Forex Pairs to Trade Profitably

By
August 23, 2023

Learn the best New York session Forex pairs for profitable trading with Traders Union experts. Mastering the right currency pairs, timing, and trading hours can lead to success in the Forex market. Discover the key pairs and strategies to capitalize on the active New York trading session.

New York session

TU analysts emphasize that newbie traders in New York must understand the Forex trading sessions, particularly the opening of the New York trading market. The U.S. dollar is heavily involved in 90% of all trades, making the New York session crucial for trading. During the overlap with the London session, the New York session is highly active, providing traders with better execution and tighter spreads.

The New York session offers a wide range of currency pairs and financial instruments. Traders can expect higher trading volume and volatility during the concurrent sessions, especially with participants from various time zones. Approximately 19% of all Forex transactions occur during the London trading session, and 85% of trades involve the US dollar, making it a major market mover. However, liquidity and volatility tend to decrease during the afternoon hours.

Forex trading in New York: what time is best?

Traders Union experts consider that selecting the right currency pair is essential for optimal results during the American session. The best day for Forex trading is Wednesday, specifically during the New York session from 13:00 to 22:00 GMT on Monday to Thursday.

Trading Forex pairs in New York session

The best days to trade Forex are Tuesday, Wednesday, and Thursday, as they are the busiest in the trading market. During the New York session, which overlaps with the Asian and London sessions, there is high volatility and liquidity, making it an ideal time to trade. When selecting New York session Forex pairs, it’s best to choose ones with high liquidity to accommodate various trading strategies without paying for gaps.

Consider trading pairs like GBP/USD, EUR/USD, USD/JPY, EUR/JPY, and EUR/GBP during the London and New York market overlap for increased profitability. Analysts at TU say that these pairs are known for small spreads, high liquidity, and sensitivity to economic events. To make the most of the New York session, focus on currency pairs that include the USD for optimal trading opportunities and regularly review your trading strategies for success.

The most popular currency pairs

Knowing the best New York session Forex pairs to trade is a key for success. So here is a list:

  • EUR/USD: The most crucial Forex pair, accounting for 28% of trading volumes, involving the Euro and U.S. Dollar, used in nearly a quarter of all currency transactions.
  • USD/JPY: The second most traded pair, with 18% of total exchanges, featuring the U.S. Dollar against the Japanese Yen, significant for equity markets and seen as a haven in times of uncertainty.
  • GBP/USD: The third most traded pair, making up 11% of trading volumes, involving the British Pound against the U.S. Dollar.
  • AUD/USD: The Australian Dollar against the U.S. Dollar, accounting for 6% of trading volumes, known as a commodity currency due to its reliance on exporting commodities.
  • USD/CAD: The Canadian Dollar against the U.S. Dollar, comprising 5% of trading volumes, strongly correlated due to close economic ties and reliance on oil exports.
  • USD/CHF: Featuring the U.S. Dollar against the Swiss Franc, accounting for 5% of trading volumes, known for Switzerland’s stability and status as a haven currency.

Conclusion

According to experts at Traders Union, novice traders might find the Forex market daunting, but with the right knowledge and the best Forex broker, success is within reach. Trading the top Forex pairs during the New York session, such as EUR/USD, USD/JPY, and GBP/USD, can give traders a competitive edge in the market.