Forex Market Hours in Singapore Time

The forex market is a global marketplace for currency trading and operates 24 hours a day, five days a week. This nonstop trading environment is driven by its decentralised nature and participation from traders across different time zones. Understanding forex market hours is crucial for traders to optimise their strategies and maximise profits. 

For traders in Singapore, knowing the market hours in Singapore time can help them align their strategies and activities with the market activity they are comfortable with. In this guide, we will explore forex market hours in Singapore time and try to understand the best time to trade forex in Singapore. Let’s begin.

What Time Does The Forex Market Open/Close in Singapore?

The forex market is decentralised, meaning it doesn't have a central exchange setting specific trading hours. Instead, it operates across major financial hubs worldwide, allowing trading to occur around the clock. It follows the standard 5-day workweek opening on Mondays and closing on Fridays. 

The forex market opens in Singapore on Mondays at 6:00 AM SST (Singapore Standard Time). 

The forex market closes in Singapore on Saturdays at 6:00 AM SST. 

Between these times, trading remains active around the clock in four major trading sessions each day. The primary trading sessions are the Sydney, Tokyo, London, and New York sessions. Let’s take a look at each of these four sessions in Singapore time and their characteristics.

Forex Market Hours in Singapore Time

The forex market comprises four key trading sessions based on the operating hours of financial hubs in Sydney, Tokyo, London, and New York. Here’s an overview of each session in Singapore Time (SST):

The Sydney Session in Singapore Time

The Sydney session marks the start of the trading week. In Singapore, it starts at 6:00 AM SST each day and ends at 3:00 PM SST. This session is characterized by lower trading volumes compared to others that follow it. However, it's a good time to trade currency pairs involving the Australian Dollar (AUD) and New Zealand Dollar (NZD) due to heightened activity in these markets. Any economic events and developments in Australia and New Zealand usually have significant effects on prices during this session. This session is mostly ideal for early risers who prefer less volatile markets.

The Tokyo Session in Singapore Time

The Tokyo session quickly follows the Sydney session and brings some increased activity to the forex market. In Singapore, this session starts at 8:00 AM SST and closes at 5:00 PM SST, coinciding with normal business hours in Singapore. This means that most people in Singapore can participate in the market during this session. Traders focusing on Asian currencies such as the Singapore Dollar (SGD), the Japanese Yen (JPY), and the Chinese Yuan (CNY) might find this session most ideal. Market trends during this session are most affected by Asian economic news and data releases.

The London Session in Singapore Time

The London session is the largest and most influential of the four, with a significant impact on global market sentiment. In Singapore, this session occurs in the late evenings starting at 4:00 PM SST and ending at 1:00 AM. It overlaps with both the Tokyo session and the New York session. However, the overlap with the New York session is more noteworthy as it features the busiest and most volatile period during the trading day. Key currency pairs like EUR/USD, GBP/USD, and USD/JPY experience substantial price movements during this period. Singaporean traders can take advantage of its high volatility and liquidity for both short- and long-term trades.

The New York Session in Singapore Time

The New York session is the final major trading session of the day. This session also features heightened trading activity and volatility. It has a strong influence on global markets. In Singapore, the New York session starts at 9:00 PM SST and ends at 6:00 AM SST. While it may be challenging for Singaporean traders to actively trade during this period, it's essential to monitor market movements. Economic announcements from the United States significantly influence the market during this session. Popular currency pairs during this session include USD/JPY, EUR/USD, and GBP/USD.

Impact of Daylight Savings on Forex Market Hours in Singapore

Daylight Saving Time (DST) has a notable impact on forex market hours. During DST, many countries move their clocks forward by one hour, causing a shift in the trading session timings. It is crucial to verify the specific DST schedules of the countries corresponding to the sessions you’re focusing on. Here's how DST influences forex sessions in SST timings:

What is Potentially The Best Time to Trade in Singapore?

The ideal trading time really depends on an individual trader. There are various factors to consider such as risk tolerance, trading style, and the currencies a trader wants to focus on. However, the following periods are worth highlighting for their unique characteristics:

The London-New York Overlap

This is the most active trading period of the trading day. In Singapore, it occurs between 9:00 PM SST to 1:00 AM SST. This period is characterised by high liquidity and significant price movements, providing traders with immense trading opportunities. It is good to monitor economic releases and developments in Europe and the US as they can have a significant impact on price movements during this time. While this period presents the most trading opportunities, it can be hard for Singaporean traders to participate due to it occurring at night.

The Tokyo and Sydney Sessions

The Tokyo and Sydney sessions align with Singapore’s business hours, making it easy for Singaporeans to trade. Moreover, it is during these sessions that the Singapore Dollar sees significant trading activity. Other Asian currencies like the JPY also see significant trading activity. Traders who prefer calmer markets with less volatility may find this period suitable for range-bound strategies. 

Navigating Forex Trading Sessions Effectively in Singapore

Here are some tips for traders in Singapore to maximise their success in the forex market:

• Identify Optimal Trading Times - Traders should choose trading sessions that align with their schedule and trading goals. Understanding the risk and volatility associated with each session can come in handy when making this decision.
• Monitor Economic News - Staying updated on economic events like interest rate decisions and GDP releases can help a ton. Such events have a great impact on currency pairs.
• Utilise Trading Tools - Traders use tools like economic calendars and trading platforms with advanced features for better decision-making. They are great at helping traders pinpoint trading opportunities
• Adopt Risk Management - Regardless of the trading session, investors should implement strategies such as stop-loss and take-profit orders to safeguard their capital.
• Focus on Key Overlaps - Pay attention to session overlaps, especially the London-New York overlap, for higher trading volume and volatility.

Conclusion

Understanding forex market hours in Singapore Time is a cornerstone of successful trading. By aligning trading strategies with market activity, traders can enhance their efficiency and profitability. While the best trading times depend on individual preferences, peak periods like the London-New York overlap offer significant opportunities for Singaporean traders. 

Factoring in other factors like Day Light Saving can also help traders best refine their strategies. Further, it is important to maintain rigorous risk-management techniques when trading, regardless of the trading session. As always, conduct thorough research and stay informed about market developments before making trading decisions.