Latin American Currencies: Onshore Hours, Offshore Hours
Posted: Wed Oct 28, 2026 1:40 am
Several Latin American currencies, including the Brazilian real, the Chilean peso and the Colombian peso, tend to have their deepest liquidity in time zones close to the Americas rather than in the London morning familiar to most scalpers. Onshore markets in Sao Paulo, Santiago and Bogota follow local business hours and local holiday calendars.
Offshore trading runs through other hours, often through quotes from global banks and, for some currencies, through non-deliverable forwards. Where capital rules limit access, onshore and offshore prices can differ. When a local holiday closes the onshore market, offshore quotes may continue, sometimes producing thin and jumpy conditions.
Commodity links add a further layer. The Chilean peso is often discussed alongside copper, and Brazil's currency alongside agricultural goods and iron ore, although such relationships weaken and strengthen over time. Local political events and domestic data can also overwhelm them.
For a scalper, the practical pocket of liquidity is usually the New York morning, when local and global participants overlap. Outside it, spreads can widen and fills can slip more than on majors. Brokers also differ widely on whether they offer these pairs at all, so contract specifications and trading hours deserve a careful read before any live use.
Offshore trading runs through other hours, often through quotes from global banks and, for some currencies, through non-deliverable forwards. Where capital rules limit access, onshore and offshore prices can differ. When a local holiday closes the onshore market, offshore quotes may continue, sometimes producing thin and jumpy conditions.
Commodity links add a further layer. The Chilean peso is often discussed alongside copper, and Brazil's currency alongside agricultural goods and iron ore, although such relationships weaken and strengthen over time. Local political events and domestic data can also overwhelm them.
For a scalper, the practical pocket of liquidity is usually the New York morning, when local and global participants overlap. Outside it, spreads can widen and fills can slip more than on majors. Brokers also differ widely on whether they offer these pairs at all, so contract specifications and trading hours deserve a careful read before any live use.