Although the Asian Session is not as volatile as the New York session has. At 11 PM – 8 AM GMT, the best pairs to trade during the Asian session (roughly 11 PM – 8 AM) tend to correspond with active economies in that time zone. Liquidity and volatility tend to be lower compared to London and New York sessions; therefore, it would be prudent to focus on currencies belonging to Japan, Australia, or New Zealand in this session. As follows are three recommended Asian session pairs are given below, but we should keep in mind these are the not only pairs where you can get profitable trades, because the real power is in your strategy.
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USD/JPY is a highly volatile pair
Asian hours see this pair trading most actively. So, the pips come gradually but it’s less volatile than XAUUSD. Tokyo, being the financial heart of Japan, ensures an active yen market session.
Intraday trading strategies that incorporate intraday moves or trend-following are particularly suited for intraday trading activities and investing.
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AUD/USD
The Australian dollar typically makes its highest gains when Sydney opens. Influenced heavily by commodities and China’s economic data (as they are major trade partners).
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NZD/USD
The New Zealand dollar has also seen heavy activity during the Asian session.
Due to similar economic drivers (exports, commodities, and China demand), movements often coincide with those seen on AUD/USD.
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AUD/JPY and NZD/JPY
These popular pairs combine the Japanese yen with Pacific currencies like Australian or New Zealand dollar. Normally, they move in the same direction.
These combinations typically display stronger fluctuations compared to just trading the AUD/USD or NZD/USD alone.
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USD/SGD and Other Asian Pairs:
Less liquid but occasionally useful for traders exploring Singapore or Hong Kong markets. Normally, new traders also choose these pairs if the spread is also low with brokers. That’s reason Neuron Markets is the best choice for low spread currency pairs.
Tips for Asian Session Trading:
Some traders prefer to trade in ranging markets or they have strategies which are best for m15 or m30 timeframes. Expect range-bound movements instead of dramatic trends during Asian session trading sessions, unless there are major news developments from Japan, Australia, New Zealand or China that cause sudden spikes.
Consider monitoring breakouts in pairs such as AUD/JPY and USD/JPY during early hours of London trading sessions for opportunities if you want to scalp for 30-50 pips.
