What are market cycle times?
Market Cycle times, the Natural Rhythm of the market, occurs regularly daily. Understanding these patterns would provide a great advantage. Click below to download a copy of the Market Cycle Timeframes to watch for trend continuations and reversals.
The market cycle is based on years of data on how the market reacts during a certain time of the day. As most traders will tell you, even though the Forex market is open 24 hours a day and you can trade 24 hours a day, it doesn’t mean you should. Some traders will even go as far as saying that you should only trade the currency during the time its market is open.
But after seeing how the market reacts to time and time again, the optimal approach is to take advantage of the timing and not to avoid the market altogether during certain times; that’s what the theory of the Market Cycle is based on.
To further understand the concept, the market is made up of traders, bankers, speculators, or just normal individuals who are going about their daily routines and, in the process, exchanging currencies…
So to take advantage of Market Cycle, one has to study their routines and learn their patterns… The market cycle diagram will give you a good starting point.
Last but not least, I just wanted to say that Market Cycle has proven time and again to pinpoint the highs and lows of the market, you know the saying that it is like catching falling knives when trying to predict a top or bottom, but using the market cycle chart, you can reasonably predict WHEN the market will turn, about 80% of the time, and that in itself increases your odds at trading, or for the very least, increase your profitability, especially when you wait for the market to retrace first before entry…