Are you looking forward to enter forex trading business? Then it is a must for you to learn the basic of the trading and get all the relevant information regarding forex time frame.
The best thing about forex market is that it is open 24 hours throughout the day from Monday to Friday, and thereby enables traders to trade at any time frame they prefer. According to experts, it is said that success of traders is actually based on the type of time frame the trader choose.
This article will help traders to learn different time frame forex.
But before that, it is important to mention that there are different types of charts available in different forex platform ranging from 1 minute to weekly. Now it is important on the part of a trader to look after the best time frame just because to evaluate time frame the trader will be working with.
Best forex time frame – A trader can use
- 1 minute
Usually, this time, frame is not considered as the best one as it hardly gives the trader several chances and in forex trading, the trading has to pay at least 3 or 5 pips spread.
- 3 minutes
3 minutes time frame is not so different from the previous one. If the trader uses this time frame on chart then it would be difficult for the trader to see any differences between small price swing and a big one.
- 5 minutes
This timeframe is considered as a decent one in context of forex trading. This time frame also helps traders to get fast trades along with good movement to pay spread and even after that it makes a profit for the trader.
- 15 minutes
15 minutes forex time frame is considered as the best time frame for a day trader. In this time frame, traders can hold down the winner for longer time as compared to 5 minutes time frame.
- 30 minutes
This time, frame is only used when the trader is intended to hold a trade for almost 6 to 8 hours. In addition, this one can also be used for forex day trading.
It is important to mention that there are some special traders, and they are known as swing traders. So, these types of traders mainly focus on 1 hour, 2 hours and 4-hour chart; even they also consider one day daily charts.
- 1-hour chart
1-hour time frame forex is considered to be the best one when a trader is expecting to hold a trade for almost 1 or 2 days. The best thing about this time frame is that it gives number of opportunities to swing traders, and it also helps them to trade with good risk-rewards.
- 2 hours and 4 hours chart
These time frames are considered as the best one for the traders looking for holding the trade duration more than 2 weeks.
- Daily chart
Daily chart forex time frame is mainly used by the investors and by the traders who hold extends the duration of the trade for almost weeks.
“It is nothing but your best timing that will make you rich in forex”