What's your view on trading the Monday open?
Monday opens with the weekend's news priced in a gap, thin liquidity and unsettled order books. Some traders wait hours; some trade the gap; most have a story about why they no longer do.
What's yours?
- whether you trade Mondays at all
- how you read the gap and the first hours
- the Monday that taught you the lesson
The weekend gaps guide explains the open's mechanics.
Background: Weekend gaps: why prices jump when the forex market reopens
Currencies stop trading on Friday evening, but the news doesn't. What happens to your positions and stops when the market reopens at a different price.
What is a weekend gap in forex?
A difference between Friday's closing price and the first price when the market reopens on Sunday, caused by news or events over the weekend.
Will my stop-loss protect me from a gap?
Not fully. A standard stop is triggered when the market reopens and fills at the first available price, which can be beyond the stop. Guaranteed stops, where offered, avoid this for a fee.
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