Probably one of the simplest strategies in the market is trading based on sessions.
Crypto exchanges operate 24/7, while market participants live across different time zones.
A trading session is a period during which the main trading hours for assets occur, resulting in a significant influx of liquidity. The hours of a trading session can vary depending on the class of assets being traded, the exchange, and the country.
There are three main trading sessions I always monitor:
✔️ Asian ✔️ London ✔️ New York
There are several price action combinations with trading sessions to watch for:
🟡 The Asian session holds the price, the London session pumps it, and the New York session dumps it.
🟡 The Asian session dumps, the London session holds the price in a range, and the New York session pumps the price.
🟡 The Asian session pumps, the London session holds the price, and the New York session dumps it.
📈These combinations can vary, so when day trading, pay attention to the previous sessions.
💰This type of price action works on weekdays, as banks and exchanges are closed on weekends.
Certainly, one should not trade based solely on price action and trading sessions, but I advise everyone to take note of this observation. When deciding to enter a trade, consider the current trading session.