When Can You Trade Binary Options?

 

While most of the assets in binary option market are traditional, like stocks, forex, indices and commodities, one of the advantages, which binary options have over other financial exchange, is that it does not get limited by a particular market. It means that in case a specific type of asset is not available, you will be able to make a selection from a variety of assets available on open markets operated across the world. This gives you the opportunity to trade 24/6 every week. However, trading can work best, in case the market is bubbling with a lot of activities from different traders across the world. Whenever there are high activities in the market, it will generate volatility and liquidity, which are required for the concerned asset, for it to reach the target prior to the expiration of the option. 
 
Although assets like commodities and currencies are traded throughout the day, there are only a few periods of the day, when activity in that market is at its maximum. You will find it to happen only during those times, when the trading zones of different countries overlap. Since not all the assets have similar trading hours, it would be best to discuss them as separate entities and consider their specific trading hours when results are at their best. 
 
Stocks
 
Stocks are traded 6-8 hours on a day-to-day basis. Stocks of several major companies, which are outside of US, are traded in the US markets as the ADR (American Depositary Receipts). Thus, US markets (operating between 0930 EST to 1600 EST) are considered the benchmark for checking the trading hours of those stocks. Again, some of the other European markets are also as important. In case you are looking to trade in stocks in binary options market, you need to give your attention to the times during which most of the stock markets, where they are listed, operate. 
 
Currencies
 
Forex market is mostly active during the time when there is an overlap between London/New York and London/Asian time zones. It is to be noted that trading in local currencies, which belong to the active time zones, are more volatile than others. 
 
Commodities
 
For particular commodities, active times can be different. For crude oil, it falls between 0900 EST and 1430 EST, whereas Gold and Silver are mostly active during 0820 EST and 1715 EST. You should identify the commodity on which you wish to trade and find its time range accordingly.
 
Index Futures
 
Stock index futures are best traded during the timings of their relevant exchanges. For DJ300, S&P500 and NASDAQ100, it would be best to trade during US market hours, whereas DAX30 would be best traded during German trading hours. 
Once you are able to master the best trading hours for each of the asset, you are not far from making profits in Binary options trading.