Choosing the right Forex day trading system and avoiding scams

Watching late night television can be pretty boring, even with a digital cable package promoting 500 channels. Infomercials seem to populate the vast majority of programming.

Forex trading has jumped on the bandwagon of infomercials, and the plugging of the best forex day trading system on the market has become commonplace in late night cable programming.

One such infomercial about the latest and greatest forex day trading system airing recently is a great example. Clips of testimonials from seemingly happy couples who claim to have made thousands within their first few days.

The hook that they reel you in with is the offer of a trip to an area locally that offers seminars on how to learn the specifics of a forex day trading system for free. Once at the seminar, they sit you down with dozens, maybe even hundreds of other people, and hawk the latest golden nugget of the day: an expensive piece of software costing $3,000. The software purports to house the perfect forex day trading system designed to make umpteen times more than the original investment.

In all honesty, no company in their right mind would sell a forex day trading system publicly if it actually made that much money for everyone that buys it. They would simply keep it for themselves and rake in millions per day on large investments.

A successful forex day trading system can be found and utilized if managed wisely. There are a number of forex day trading systems that are offered by reputable companies with a proven track record success, both in foreign exchange markets and other commodities.

The biggest key in finding the right forex day trading system is not by watching late night cable television. Do your homework, research histories of companies searched, and make absolutely sure that the system you choose is one that allows you to sleep at night and turn off cable television.

Building strategies to take advantage of Forex market hours

The foreign exchange currency market is international in nature, and therefore not subject to more traditional stock market and commodities trading hours. Since each country is located in different areas and time zones, it’s important to understand forex market hours in each country in order to trade effectively.

The best start is to look at how forex markets are currently structured and how understanding forex market hours and their trading sessions can help to develop a comprehensive strategy.

Trading periods regarding forex market hours can be broken down into three main sessions: The Tokyo Session, the London Session, and the U.S. Session. Tokyo trades between 7PM- 4AM EST, London trades between 3AM- 12PM EST, and the U.S. trades between 8AM- 5PM EST. The forex market trades six days per week, and has no holidays since it’s an international market.

The busiest forex market hours are when two separate trading sessions overlap. Between 8AM- 12 PM, both the U.S. and London trading sessions are open, and between 3AM- 4AM, Tokyo and London are both open. However, between 5PM- 7PM, no sessions are active at all, as such the market slows down considerably.

Even though the major forex markets are in the three major cities listed above, the forex market hours go through a cycle that begins in New Zealand, followed by Australia, Asia, the Middle East, Europe and America. The bulk of the trading actually occurs in the United States and the UK, accounting for over half of the market transactions. As such, the bulk of trading activity during forex market hours occurs during the early morning hours when the London session is just beginning.

Understanding when the major activity occurs during forex market hours is a major step in strategy planning. Once you know the trends and are prepared with your strategy, trading can be effective, and profitable.