Forex or Foreign Exchange is a global market for the trading of currencies. It is a vast global financial market, with over $5 trillion traded daily. It is the process of exchanging one currency for another currency internationally. It is increasingly popular in India. In order to make good use of the entries, we should know about the forex market timings in India.
The forex market is a zero-sum game in which one person experiences profits while another suffers losses. Forex trading results depend on many things. One of them is the time of the day when traders should trade in the forex market. Several countries have different timings for trading. So in this article, I am here to share the forex market timings and Forex Trading Session.
Forex Market Timings in India – Latest Forex Market Timings for Trading
Forex is also known as the ‘Foreign Exchange Market,’ ‘ Currency Exchange Market,’ or ‘FX Market.’ It is the process of buying one currency and simultaneously selling another. It is one of the world’s largest and most actively traded markets. Approximately, it has an average daily trading volume of $5 trillion.
The major participants of this forex trade are the larger international banks, institutions, and individual traders. Unlike other financial trade markets, there is no centralized marketplace for forex trading. All the currency trading is done electronically via computer networks, known as the over-the-counter (OTC) market.
How Does the Forex Market Work in India?
International currency markets are comprised of banks, central banks, multinational companies, investment management firms, hedge funds, retail forex brokers, and investors around the world. Since 1971, central banks have relied on the forex market. Therefore, forex traders need to understand the forex market action at the macro level.
Forex trading is majorly used in the businesses like tourism, food exchange, and other trade business. In India, forex trading is permitted under certain rules and regulations. It is based on the Securities and Exchange Board of India (SEBI), India’s financial regulatory body. In 1988, the SEBI was established.
Indian currency is the Indian Rupee (INR). The RBI (Reserve Bank of India) is the one that monitors forex trade market movement and activities. In India, we can do the currency futures in popular exchanges like NSE, BSE, and MCX. The forex market is open 24/5 in different parts of the world. But in India, forex market time zones are between 9 AM and 5 PM.
Opening and Closing Forex Market Timings in India
They are related to India’s Standard Time (IST), so the forex market opens on Monday early morning and closes on Saturday early morning. Globally, the forex market is 24 hours a day, 5 days a week. Weekend trades are not available in the forex market. Indian Standard Time (IST) is 5 hours 30 minutes (5.5 hours) ahead of Greenwich Mean Time (GMT).
For MetaTrader platform traders, forex market timings in India start on Monday from 02.30 AM – IST up to 01.30 or 02.30 AM IST on Saturday. However, Indian stock market traders follow the Indian National Stock Exchange Market (NSE-nseindia.com) timings from 09.15 AM to 03.30 PM.
Indian NSE Market has a pre-open session from 09.00 up to 09.08 IST, a regular trading session from 09.15 up to 15.30 IST, and a closing session from 15.40 to 16.00 IST. Indian traders can trade CFDs assets like gold, silver, and more metals using the best forex broker websites, and CFD trading works 24 hours per day except on weekends.
Forex traders in India can buy and sell futures for four currency pairs, including USD-INR, EUR-INR, GBP-INR, and JPY-INR. All these four pairs are commonly abbreviated as FCY-INR, where FCY – Foreign Currency.
Indian forex market time opens at 09.00 AM and closes at 05.00 PM. The forex trading timing in India opens at 09.00 AM, which is three & half hours after Japan’s, two & half hours after Australia, Singapore, & Hong Kong’s forex GMT time, and closes at 03.30 PM. Indian Rupees pairs are relatively highly overlapping with the European markets, especially the UK and Germany.
The cross-currency forex market timings in India open at 09.00 AM and close at 07.30 PM. Three cross-currency pairs can trade by traders, i.e., EUR-USD, GBP-USD, and USD-JPY. The forex market is not open on public and national holidays. In 2022, there will be 16 public and national holidays. During that period forex market will remain closed.
Best Forex Market Timings in India
If forex traders trade US dollar-related currency pairs such as EUR-USD, GBP-USD, USD-JPY, and more US-related currency pairs, then the best forex market timings in India to trade these currency pairs are from 05.30 PM to 08.30 PM as per IST. During this period, European and American forex markets are active.
The European (EU) trading session and the US market trading session overlap during this period. So, the above timings are the most significant forex market trading volume at that moment. However, if traders trade only Indian Rupee (INR) forex pairs, then the best forex trading timings in India are from 09.15 AM to 03.30 PM (IST timings).
World Forex Market Timing Relates to Forex Market Timings in India
Worldwide, the forex market has run 24 hours except for weekends and reduced market spreads and increase volatility called forex market volatility hours. It includes the US markets overlapping 8 AM to noon EST, New York, and London markets open 7PM India time to 2 AM, and more. Below is the world timings related to forex market timings as per India.
Conclusion – Forex Trading Timings in India
Hopefully, you got a clear overview of the forex market timings in India. We also discussed opening and closing forex market timing in India, the best forex market timings in India, and some of the world forex market timing related to forex market timings in India. The forex market timings in India are from 09.00 AM to 05.00 PM.
We can trade INR currency pairs from 09.00 AM to 03.30 PM. At the same peroids, we can trade some cross-currency pairs from 09.00 AM to 07.30 PM. Indian traders should trade in the SEBI registered & authorized forex brokers and must know their broker’s trading time before trading. So, let’s look at the above article to find out the forex market timings in India.