Session rules for Asia are not London rules with smaller numbers
Posted: Sat Oct 31, 2026 8:41 am
Taking a London-open strategy and simply shrinking the stops and targets for the Asian session rarely works. The difference is structural. Liquidity is thinner on most majors, the yen and Australian and New Zealand crosses are where the real activity is, and spreads on everything else are wider relative to the range.
What tends to hold up is a different style of trading. Ranges are more common, breakouts fail more often, and moves are slower. That favours fading edges of a tight box with modest targets, rather than momentum entries that need follow-through. It also favours avoiding pairs whose home session is closed, since their spreads cost a larger share of a small range.
A few adjustments worth testing:
- Trade pairs that have local participants awake, such as USDJPY, AUDUSD or AUDJPY
- Cut the target to the realistic range for the session, and require a lower cost ratio than in London
- Stay away from the minutes around the Tokyo fix and regional data, where price can jump in an otherwise sleepy tape
Also watch the rollover period at the start of the session, when spreads blow out for a short time on many accounts. Entries there are an easy way to lose a pip or two for nothing.
Which rule did you have to change most when moving a setup from London hours to the Asian session?
What tends to hold up is a different style of trading. Ranges are more common, breakouts fail more often, and moves are slower. That favours fading edges of a tight box with modest targets, rather than momentum entries that need follow-through. It also favours avoiding pairs whose home session is closed, since their spreads cost a larger share of a small range.
A few adjustments worth testing:
- Trade pairs that have local participants awake, such as USDJPY, AUDUSD or AUDJPY
- Cut the target to the realistic range for the session, and require a lower cost ratio than in London
- Stay away from the minutes around the Tokyo fix and regional data, where price can jump in an otherwise sleepy tape
Also watch the rollover period at the start of the session, when spreads blow out for a short time on many accounts. Entries there are an easy way to lose a pip or two for nothing.
Which rule did you have to change most when moving a setup from London hours to the Asian session?