Why forex is a 24-hour market

No closing bell

Unlike the Philippine Stock Exchange, which opens at 9:30 AM and closes at 3:30 PM Manila time, the forex market has no central building and no official closing time during the trading week. It runs continuously from Monday morning in Sydney (which is late Sunday evening in most of the world) through Friday afternoon in New York.

This happens because forex is a decentralized, over-the-counter (OTC) market. Trades happen directly between banks, brokers, corporations, and retail platforms scattered across every timezone. As one financial center winds down, another is waking up.

The four major sessions

The 24-hour cycle is typically divided into four overlapping sessions, named after the major financial centers:

• Sydney – Opens first, relatively low volume.
• Tokyo – The Asian session; yen pairs and regional flow.
• London – The heavyweight. Roughly 35% of daily forex volume happens here.
• New York – Overlaps with London for several hours; highest combined liquidity.

Each session has its own character. London moves fast. Tokyo can be quieter. New York often sees sharp moves when US economic data drops at 8:30 AM Eastern.

What this means for Philippine-based traders

Manila is UTC+8, the same timezone as Singapore and Hong Kong. That puts you in a useful position:

• Tokyo session runs during your morning and early afternoon.
• London session opens around 3 PM Manila time.
• New York session opens around 8 PM Manila time (or 9 PM during US daylight saving).

If you work a standard office job, you're home when London and New York overlap — the most liquid window of the day. Many Filipino retail traders do exactly this: they trade in the evening, after dinner, when EUR/USD and GBP/USD are moving.

Why 24 hours matters (and why it doesn't)

The fact that the market is always open does not mean you should always be watching it. In fact, the opposite is often smarter. Not all hours are equal. Volume, volatility, and the behavior of specific pairs change depending on which session is active.

Tomorrow we'll break down what each session looks like in detail, and which pairs tend to move when.

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