The forex trading currency market is the intersection for international capital. As the cross roads through which the flows of the global commercial and investment have to move, it is also the most traded financial market in the world. In this article we will focus on the Asia-Pacific session in forex trading currency and its active centers.
According to a recent survey, the Forex trading volumes in the forex Asia-Pacific session make for about 21 percent of total daily global volume. The chief financial trading centers are Sydney, Australia; Wellington, New Zealand; Tokyo, Japan; Singapore and Hong Kong. The main currency pairs which get traded are USD/JPY, EUR/JPY and AUD/JPY.
Any news and data reports from Australia, New Zealand and Japan, hitting the market during the Asia-Pacific forex session is going to affect the price action of the most actively traded currency pairs. The size and importance of the Japanese market makes the Japanese data of an utmost importance to the forex trading currency market. Therefore you will see that most of the action during the Asia-Pacific forex trading session is focused on the Japanese yen currency pairs such as USD/JPY or the JPY crosses, like EUR/JPY and AUD/JPY.
Obviously as thee Japanese financial institutions are also the most vigorous during this Asia-Pacific session in forex trading currency, based on price movements, one can regularly get a sense of what the Japanese market is doing. For individual traders, on the whole the liquidity in the major currency pairs with orderly price movements is more than sufficient to make profits or any gains. In some non-regional currencies, like GBP/USD or USD/CAD which are less liquid, the price movements may be more unpredictable or nonexistent, depending on the environment.
We hope you have a fairly good idea about the environment and working of Asia-Pacific session in forex.