Hello fellow traders! If you’re looking to maximize your profits in the forex market, understanding the ICT Kill Zones is essential. While the forex market operates 24 hours a day, not all hours offer the same trading opportunities. Some periods are more active and provide better chances for profitable trades.
Michael Huddleston, also known as the Inner Circle Trader (ICT), introduced the concept of Kill Zones to highlight these hot trading hours. In this guide, I’ll walk you through all four ICT Kill Zones—the Asian, London, New York, and London Close Kill Zones. We’ll explore their timings, how to identify them, and how to use them to boost your trading success.
What Are ICT Kill Zones?
ICT Kill Zones refer to specific times during the forex trading day when market activity and volatility are at their peak. These periods align with the major forex market sessions: Sydney, Tokyo, London, and New York. During these times, institutional traders like banks and hedge funds are most active, causing significant market movements.
By focusing on these Kill Zones, you can tap into the increased trading volume and take advantage of the best trading opportunities. Let’s dive into each Kill Zone and see how you can make the most of them.
These ICT kill zone times are according to GMT & EST time.
ICT Kill Zones | EST Time Frame | GMT Time Frame |
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ICT Asian Kill Zone | 08:00 PM – 10:00 PM | 12:00 AM – 02:00 AM |
ICT London Kill Zone | 02:00 AM – 05:00 AM | 06:00 AM – 09:00 AM |
ICT New York Kill Zone | 07:00 AM – 09:00 AM | 11:00 AM – 01:00 PM |
ICT London Close Kill Zone | 10:00 AM – 12:00 PM | 02:00 PM – 04:00 PM |
ICT Asian Kill Zone Time
The ICT Asian Kill Zone runs from 8:00 PM to 10:00 PM EST (that’s 12:00 AM to 2:00 AM GMT). This period marks the start of the trading day, with markets in Sydney and Tokyo opening. The most active currency pairs during this time involve the Australian Dollar (AUD), New Zealand Dollar (NZD), and Japanese Yen (JPY).
During the Asian session, the US Dollar often doesn’t move much, so pairs without the USD can provide better trading opportunities. While this session is generally less volatile, it can still offer good chances for short-term trades or scalping.
For instance, if the AUD/JPY is trending upward on the daily chart, you might wait for a price pullback to a key level before entering a buy trade. You could aim for a profit of 15-20 pips, targeting the previous high.
ICT London Kill Zone Time
The ICT London Kill Zone occurs between 2:00 AM and 5:00 AM EST (6:00 AM to 9:00 AM GMT). This is when the London market opens, and trading volume increases significantly. The British Pound (GBP) and Euro (EUR) pairs are particularly active during this time.
The London session is known for high volatility and potential for big market moves. On bullish days, the market often sets the day’s high during this period. On bearish days, it might set the day’s low. Using the overall market trend (higher time frame bias) can help you make informed trading decisions.
For example, if the GBP/USD is in a downtrend on the daily chart, you could look for opportunities to sell during this Kill Zone. You might wait for the price to rise to a certain level before entering a sell trade, aiming for a profit of 30-40 pips.
ICT New York Kill Zone Time
The ICT New York Kill Zone spans from 7:00 AM to 9:00 AM EST (11:00 AM to 1:00 PM GMT). This period overlaps the London and New York sessions, making it one of the most active times in the forex market. Currency pairs involving the US Dollar are especially busy during this time.
During the New York Kill Zone, the market often retraces back to the London session’s price range. This retracement can provide good entry points for trades that align with the overall market trend.
For instance, if the USD/CAD is trending downward, you might wait for the price to rise back to a certain level within the London range before entering a sell trade. Aiming for a profit of 30-40 pips is reasonable in this scenario.
ICT London Close Kill Zone Time
The ICT London Close Kill Zone is from 10:00 AM to 12:00 PM EST (2:00 PM to 4:00 PM GMT). This period is significant because traders in London are closing their positions for the day, which can lead to price reversals or retracements.
During this time, the price often moves back into the day’s range, offering opportunities for short-term trades. Major currency pairs involving the US Dollar are good to focus on.
For example, if the GBP/USD has been rising and set a high earlier in the day, the price might start to fall as traders close their positions. You could look for a sell trade during this Kill Zone, aiming for a profit of 15-20 pips.
Conclusion
Understanding and trading during the ICT Kill Zones can greatly improve your chances of success in the forex market. By focusing on these key periods, you can take advantage of increased market activity and volatility. Remember to always consider the overall market trend and use proper risk management in your trading.
FAQs About ICT Kill Zones
ICT Kill Zones are specific time frames during the forex trading day when market activity and volatility are highest. These periods correspond to the major forex market sessions and are when institutional traders are most active, leading to significant market movements.
Trading during the Kill Zones allows you to capitalize on increased volatility and trading volume. This can lead to more trading opportunities and potentially higher profits. The movements during these times are often more predictable and significant, making them ideal for traders.
Asian Kill Zone: Pairs involving AUD, NZD, and JPY, such as AUD/JPY or NZD/JPY.
London Kill Zone: Pairs involving GBP and EUR, like GBP/USD or EUR/USD.
New York Kill Zone: Pairs involving the USD, such as USD/CAD or EUR/USD.
London Close Kill Zone: Major USD pairs remain active, so GBP/USD and EUR/USD are good options.
You can use tools like Fibonacci retracement levels, support and resistance zones, and moving averages. Look for retracements to key levels after a significant price move and wait for confirmation signals before entering a trade.
While you can trade during all the Kill Zones, it’s essential to consider your schedule and trading strategy. Trading all day can be exhausting and may lead to mistakes. It’s often better to focus on one or two Kill Zones that align with your availability and trading style.