London-New York Overlap: The Golden Hours

The most profitable 3-hour period in forex trading (4:00-7:00 PM EAT)

Perfect Timing for Kenyan Traders

This overlap occurs during ideal evening hours in Kenya, offering maximum volatility and liquidity when you're most alert and available to trade.

Why This Overlap Matters

Market Statistics

  • • 70% of daily forex volume
  • • Tightest spreads (0.6-0.8 pips)
  • • Maximum liquidity
  • • Highest volatility

Kenya Advantages

  • • Perfect after-work timing
  • • Peak internet performance
  • • Full broker support
  • • No sleep disruption

Precise Timing Breakdown

Time (EAT) London Status New York Status Activity Level
16:00 Active (6 hours in) Opening Maximum
17:00 Peak Activity Peak Activity Maximum
18:00 High Activity High Activity Very High
19:00 Closing Continuing High

Optimal Trading Strategies

1. Breakout Trading

Trade breaks of European session ranges as New York opens.

Setup: Identify 10 AM - 4 PM EAT range → Place breakout orders → Target 80-150 pips

2. Momentum Trading

Follow strong directional moves during peak volatility.

Setup: Wait for 20+ pip move → Enter on pullback → Trail stops → Target 100+ pips

3. News Trading

Capitalize on US economic releases during overlap.

Setup: Straddle orders before news → Quick execution → Target immediate volatility

Best Currency Pairs

Pair Avg Spread Volatility Best Strategy
EUR/USD 0.6 pips 120+ pips Breakout, Momentum
GBP/USD 0.8 pips 150+ pips News, Volatility
USD/JPY 0.7 pips 100+ pips Trend Following

Master Overlap Trading

Advanced Techniques

Session Context

Quick Action Plan

  1. Prepare analysis by 3:30 PM EAT
  2. Focus trading between 4:00-7:00 PM EAT
  3. Use tight stops (30-50 pips) due to volatility
  4. Target larger moves (80-150 pips)
  5. Monitor US economic calendar daily

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