Kathy Lien
BK Asset Management
Most traders think the market open is the best time to trade - but they're wrong. The first hour after the US market opens at 9:30 AM ET is called "Amateur Hour" for a reason, and it catches traders off guard across stocks, futures, gold, and forex.
In this video, I break down exactly why the opening hour is so chaotic, how institutional order flow creates fake breakouts, and the specific strategies you need to trade it safely—or why waiting until after 10:30 AM could be your smartest move.
Past performance is not indicative of future results. Trading forex carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade any such leveraged products you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading on margin, and seek advice from an independent financial advisor if you have any doubts.
Editors’ Picks
EUR/USD edges higher to mid-1.1600s; looks to US PCE Price Index for fresh impetus
The EUR/USD pair attracts some dip-buyers during the Asian session on Friday and recovers a part of the previous day's retracement slide from the 1.1680 region, or the highest level since October 17. Spot prices currently trade around mid-1.1600s and remain on track to register gains for the second straight week.
GBP/USD: Constructive view prevails above 1.3300 ahead of US PCE inflation data
The GBP/USD pair trades on a flat note near 1.3330 during the Asian trading hours on Friday. Traders prefer to wait on the sidelines ahead of the key US inflation report later on Friday. The US delayed Personal Consumption Expenditures Price Index report for September could offer some hints about the US interest rate path.
USD/JPY stays pressured near 155.00 on Fed-BoJ policy divergence
USD/JPY remains weak near 155.00 in the Asian session on Friday. The pair faces headwinds from expectations of the Fed-BoJ monetary policy divergence, which outweighs the fall in Japanese Household Spending in October. All eyes are on the delayed US Personal Consumption Expenditures Price Index data for September later on Friday.
Editors’ Picks
AUD/USD bulls pause for a breather ahead of the US PCE Price Index
AUD/USD holds above 0.6600 in Friday’s Asian session, remaining close to yesterday's two-month high. Divergent RBA-Fed policy expectations support spot prices amid a broadly weaker US Dollar. However, bulls are pausing ahead of today’s key US PCE Price Index. Still, spot prices remain on track to register strong gains for the second consecutive week.
USD/JPY stays pressured near 155.00 on Fed-BoJ policy divergence
USD/JPY remains weak near 155.00 in the Asian session on Friday. The pair faces headwinds from expectations of the Fed-BoJ monetary policy divergence, which outweighs the fall in Japanese Household Spending in October. All eyes are on the delayed US Personal Consumption Expenditures Price Index data for September later on Friday.
Gold bull-bear tug-of-war extends ahead of US data
Gold struggles around $4,200 early Friday, eyes a modestly flat close to the week. US Dollar turns south alongside Treasury bond yields amid Fed rate cut buzz. Gold remains confined within a tight range; buyers refuse to give up yet.
Top Crypto Gainers: Zcash rallies as MYX Finance, Dash test critical EMA levels
Zcash, MYX Finance, and Dash are the top-performing assets in the top 100 cryptocurrency list over the last 24 hours. The privacy coin leads the rally while MYX and DASH struggle to clear their 100-day Exponential Moving Averages.
Why the Fed may cut rates in December: Understanding the policy shift
The Fed has gone through a noticeable policy swing in recent months - from initiating a rate cut, to signaling a potential pause, and now shifting once again toward another cut in December. This has created understandable confusion among traders and investors trying to interpret the Fed’s reaction function.
RECOMMENDED LESSONS
Making money in forex is easy if you know how the bankers trade!
I’m often mystified in my educational forex articles why so many traders struggle to make consistent money out of forex trading. The answer has more to do with what they don’t know than what they do know. After working in investment banks for 20 years many of which were as a Chief trader its second knowledge how to extract cash out of the market.
5 Forex News Events You Need To Know
In the fast moving world of currency markets where huge moves can seemingly come from nowhere, it is extremely important for new traders to learn about the various economic indicators and forex news events and releases that shape the markets. Indeed, quickly getting a handle on which data to look out for, what it means, and how to trade it can see new traders quickly become far more profitable and sets up the road to long term success.
Top 10 Chart Patterns Every Trader Should Know
Chart patterns are one of the most effective trading tools for a trader. They are pure price-action, and form on the basis of underlying buying and selling pressure. Chart patterns have a proven track-record, and traders use them to identify continuation or reversal signals, to open positions and identify price targets.
7 Ways to Avoid Forex Scams
The forex industry is recently seeing more and more scams. Here are 7 ways to avoid losing your money in such scams: Forex scams are becoming frequent. Michael Greenberg reports on luxurious expenses, including a submarine bought from the money taken from forex traders. Here’s another report of a forex fraud. So, how can we avoid falling in such forex scams?
What Are the 10 Fatal Mistakes Traders Make
Trading is exciting. Trading is hard. Trading is extremely hard. Some say that it takes more than 10,000 hours to master. Others believe that trading is the way to quick riches. They might be both wrong. What is important to know that no matter how experienced you are, mistakes will be part of the trading process.
The challenge: Timing the market and trader psychology
Successful trading often comes down to timing – entering and exiting trades at the right moments. Yet timing the market is notoriously difficult, largely because human psychology can derail even the best plans. Two powerful emotions in particular – fear and greed – tend to drive trading decisions off course.