What day of the week do Pipsmart traders focus on? |
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Looking at the graph above there’s certainly no doubt that each day brings a different degree of volatility. With this look at a six month sample across the EUR/USD it’s clear to see that the average daily price/pip movement range comes in at between 100 to 130 pips. But that’s the average… Notice that the highest volatility comes most frequently on Friday. This is due to monthly NFP released the first Friday of the month.
I don’t trade actively on Sunday as it’s mainly the Asian session open that’s reflected and the Asian session is the lowest in terms of not only participation but also pip movement.
I certainly am not and do not want to imply that trading is not active Monday through Friday…but is there a certain degree of movement expectation you can gather from this? Absolutely!
Both graphs courtesy of Autochartist FX PowerStats
Filed under: Chartology
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