Bank holidays and the quiet markets that still trap scalpers
Posted: Sat Oct 31, 2026 7:41 pm
When London or New York is closed, the market doesn't stop. It just gets quieter, and quiet creates its own problems.
On a US bank holiday, volume drops and spreads often widen. Liquidity providers in other regions carry the load, and their quotes can be stale or wide. Price moves less, but it can jump when it does move.
Scalping strategies built for liquid conditions often struggle. Ranges shrink below the spread. Breakouts fail more often. Stops get hit by occasional spikes that reverse immediately.
The right response depends on the strategy. Some scalpers take the day off. Others reduce size and widen their filters. A few specialise in low-volume conditions, but they usually know exactly why it works.
A calendar of bank holidays for the major currencies is easy to keep. Marking them in advance avoids the surprise of a dead session.
How do you treat the holidays: trade smaller, change approach or stay out?
On a US bank holiday, volume drops and spreads often widen. Liquidity providers in other regions carry the load, and their quotes can be stale or wide. Price moves less, but it can jump when it does move.
Scalping strategies built for liquid conditions often struggle. Ranges shrink below the spread. Breakouts fail more often. Stops get hit by occasional spikes that reverse immediately.
The right response depends on the strategy. Some scalpers take the day off. Others reduce size and widen their filters. A few specialise in low-volume conditions, but they usually know exactly why it works.
A calendar of bank holidays for the major currencies is easy to keep. Marking them in advance avoids the surprise of a dead session.
How do you treat the holidays: trade smaller, change approach or stay out?