When you want to pick the best automated Trading Algorithms tool or expert advisor then there are a number of factors and points to consider with respect to the algorithm you are choosing. Although there are so many aspects that you need to consider, there is one peculiar factor that is just as important as any other aspect to take into account and that is timing.
Time is a crucial concept in the forex market for a number of reasons, perhaps much more than any other similar market in the financial world. In this article we are going to see why the concept of time is important in the foreign exchange market and we will also look at the notion of timing for your positions and your trades in this market. All the while we want to see how XauBot Pro can help you manage this aspect of automated trading as well.
Take a look: Power of Display Lines for News in forex Analysis in XAUBOT Pro
Is Time Important in the Forex Market?
We are going to see how XauBot Pro is going to help you with the concept of time and getting your timing right in the process of automated trading. But before we do that we must first understand the importance of the concept of time in forex.
Timing is important in any financial decision that you make in any market. But perhaps it is doubly important in the forex market. But why?
The reason time is such an important concept in the forex market has to do with the activity hours of this market. You see, while other markets have a certain working schedule due to their centralized nature and being controlled by a central entity, the forex market is not so. The foreign exchange market is a collective of decentralized trading terminals from around the world. As a result, and due to the lack of a governing entity, there are no fixed working hours for this market.
This is how forex is able to operate 24 hours a day. Of course this is the case during the weekdays and the weekend, i.e. Saturday and Sunday, the market is off. But all the same, this is basically the case that the market is active 24 hours a day.
So for this reason the idea of time itself is that much more important in forex, in comparison with any other financial market. At the same time, this is precisely the reason why you need to get your timing just right in this market.
Now that we have a perfect understanding of time and timing in the forex market, let’s see how it is possible to get it just right.
Take a look: Streamlining Trading Operations with Auto Timezone Detection in XAUBOT Pro
How to Get Your Timing Just Right in Forex?
So let’s see how it is possible to achieve perfect timing in the forex market.
Before making any decisions with respect to timing in the forex market, you need to ask yourself some important questions that will lead you to the right time as to when you ought to be trading.
Among the questions that need to be asked are things such as, do you need a higher level of volatility to execute your trading strategy? Or does your strategy need a higher level of liquidity in the market to be perfectly executed?
So for instance if the answer to any of those questions is positive, then you need to take advantage of overlaps between different trading sessions.
You see as we briefly discussed above, the forex market is the result of a collective of trading terminals around the world. These are also known as trading sessions. But of course these trading sessions are not run completely separate from each other. In other words, they do not begin when the previous one finishes. In fact, each of them has its own timing.
As a result, something that can naturally happen overlaps between these sessions. When there is an overlap between two sessions in the forex market, it means there is a higher number of traders present in the market. This in turn will mean there is a higher degree of trading taking place and of course there is a higher level of liquidity in the market.
Of course with the high number of traders and trades that are being executed, prices can also vary and experience more volatility than otherwise. In this situation, certain strategies are executed much better than other times.
But there are so many different trading strategies and also many different trading sessions. So achieving a perfect combination can be difficult. This is why a smart trading tool such as XauBot Pro can be instrumental in achieving this perfect mixture. Let’s see how.
Take a look: Personalizing News Event Display Exploring Line Style Options in XAUBOT Pro
How Can XauBot Pro Help You with Time in the Foreign Exchange Market?
When an expert advisor such as XauBot Pro is regarded as smart, there must be strong and reliable reasons for it. In the case of XauBot Pro, this EA owes its smart and intelligent nature to the many features and parameters that help it achieve this status.
One of those parameters is the Auto Time Zone Detection. As the name suggests, when this parameter is active, the expert advisor will be able to automatically detect the time zone in which you are, thus being able to truly take advantage of time and right timing in the forex market.
This feature will also take you one step further with regard to true automation and intelligent trading in the forex market by relieving you of the need to manually input the time zone.
Take a look: Enhancing Chart Analysis with Display Lines Option in XAUBOT Pro
Conclusion
Time is a crucial concept in the forex market. This is partially because the forex market is active 24 hours a day, 5 days a week. So when the market is active for such long hours, it can be difficult to find the exact right time. And that is why the idea of time and timing are so important in the forex market. XauBot Pro can help you in this respect by automatically detecting your time zone.
