The London open is the busiest hour of the day for gold and the euro. Liquidity arrives after a quiet Asian session, price leaves the night's range, and many short timeframe traders take their first trade of the day. It is also the hour where the most stops get hit on a move that turns around ten minutes later.
This guide gives you a simple routine for the open on XAU/USD and EUR/USD: when it happens, what to mark before it starts, the two setups worth waiting for and where the stop goes. It is educational, not financial advice, and every number in the examples is made up to show the method.
When the London open is
London trading starts at 08:00 London time.
| Period | London open in UTC | Frankfurt open in UTC |
|---|---|---|
| Winter (late October to late March) | 08:00 | 07:00 |
| Summer (late March to late October) | 07:00 | 06:00 |
Frankfurt opens one hour earlier, so European volume often starts building before London. The US and the UK change their clocks on different weekends in March and in October and November, so the gap to the New York open can be one hour shorter for a week or two. Check the time in your own platform: MetaTrader shows server time, which is often UTC+2 or UTC+3, not your local time.
Before the open: mark the Asian range
The Asian range is the high and the low printed from about 00:00 UTC to the London open. On a 15 minute or 5 minute chart:
- Draw a line at the Asian high and the Asian low. These are where stops from the night sit: above the high for sellers, below the low for buyers.
- Note the size of the range. A tight range often means the open can travel. A wide range means some of the day's move may already be done.
- Mark yesterday's high and low and the nearest round number. If one of them sits just outside the Asian range, that is the likely first target of the open.
- Check the calendar. German and UK data often come out between 06:00 and 09:00 UTC (how to read the economic calendar). A release in the first 30 minutes changes the setup: wait until it is out.
Now you know where the obvious stops are. The open will very often go and test one side.
The rule: no trade in the first 15 minutes
The first candles of the open are fast, the spread can be wider than usual for a minute or two, and the first push is often not the real direction. Let the first 15 minute candle close before you do anything. If you trade the 5 minute chart, wait for three candles. You lose a few pips of a real move and avoid most of the false ones.
Setup 1: the false break (sweep and return)
Price pushes above the Asian high (or below the low), takes the stops there, then comes back inside the range.
- What you need: a 15 minute candle that trades through the Asian high or low and then closes back inside the range. A long wick outside is the sign.
- Entry: on the close back inside, or on a small pullback toward the broken line.
- Stop: beyond the tip of the wick that swept the level, plus the spread. Not at the Asian line itself: that is where the next sweep would take it.
- Target: the middle of the Asian range first, then the other side of the range.
- Invalid if: the next candle closes outside the range again. The break was real; get out.
Setup 2: the real break (close outside and hold)
Price closes outside the Asian range and the next pullback holds above the old high (or below the old low).
- What you need: a full 15 minute candle body closed outside the range, then a pullback that touches or comes near the broken line and does not close back inside.
- Entry: when the pullback candle closes and holds the line.
- Stop: back inside the range, below the pullback low for a long (above the pullback high for a short), plus the spread.
- Target: the next level you marked: yesterday's high or low, a round number, a higher timeframe level.
- Invalid if: a candle closes back inside the range. That turns it into setup 1 in the other direction.
You do not need to guess which one will happen. Mark the range, wait for the close, and the chart tells you which setup is on.
Gold and EUR/USD are not the same
- EUR/USD respects the Asian range more cleanly. Ranges of 15 to 40 pips are common on quiet nights. Measure the stop in pips. The forex session times guide covers the rest of the day.
- Gold moves more in dollars and its wicks are longer. Give the stop more room beyond the sweep and measure it in dollars of price, not pips. The US data at 13:30 UTC (12:30 in summer) often matters more for gold than the London open itself, so a London trade on gold may need to be closed or protected before then. More in gold trading sessions.
Worked example 1: EUR/USD false break (made-up numbers)
This example is invented to show the routine. It is not a real trade or a forecast.
- Asian range: high 1.0850, low 1.0825 (25 pips). Yesterday's low 1.0812.
- At the open the first 15 minute candle drops to 1.0817, through the Asian low, and closes at 1.0831, back inside.
- Long entry: 1.0831. Stop: 3 pips below the wick plus 1 pip of spread, 1.0813, so 18 pips.
- Target 1: the middle of the range, 1.0838. Target 2: the Asian high, 1.0850 (19 pips, about 1:1).
- Account $1,000, risk 1 percent = $10 (the formula is in how to calculate lot size). Lot size = 10 ÷ (18 × $10) = 0.055, rounded down to 0.05 lot. Loss at the stop: 18 × $0.50 = $9.
Worked example 2: gold real break (made-up numbers)
- Asian range: high 2,412, low 2,400 ($12). Yesterday's high 2,421.
- The 08:15 UTC candle closes at 2,415, above the Asian high. The next candle pulls back to 2,412.80 and closes at 2,414.
- Long entry: 2,414. Stop below the pullback low and the old high, with spread room: 2,410, so $4.
- Target: yesterday's high, 2,421 ($7, about 1:1.75). Close or protect before the 13:30 UTC data.
- Account $1,000, risk 1 percent = $10. With a 100 ounce contract, 0.01 lot loses $1 per $1, so lot size = 10 ÷ (4 × 100) = 0.025, rounded down to 0.02 lot. Loss at the stop: $8.
Common mistakes at the open
- Buying the first green candle of the open because it is big. Big first candles are often the sweep.
- Putting the stop exactly on the Asian high or low. That is the first place the next sweep goes.
- Taking a London trade 10 minutes before a German or UK release.
- Using the same lot size on gold as on EUR/USD. The dollar risk is not the same for the same lot.
- Taking a second and third trade after the first loss to "get it back". One or two trades at the open are enough.
FAQ
What time is the London open in UTC?
08:00 UTC in winter (late October to late March) and 07:00 UTC in summer. Frankfurt opens one hour earlier.
What is the Asian range?
The high and the low printed between about 00:00 UTC and the London open. Many short timeframe traders mark it before the open because stops sit just outside it.
Is the London open good for gold?
Gold is often active at the London open, but its biggest moves of the day often come with the US data at 13:30 UTC in winter, 12:30 UTC in summer. A London trade on gold works best with a clear level and a plan for what to do before New York. The New York open routine covers the US data hour.
Why does price break the range and then come back?
Stops sit just outside the range. When price reaches them, those orders fill, and if there are no new buyers or sellers behind them, price returns inside. That is the false break in setup 1. Wait for the candle close to see which it is.
Which timeframe should I use at the London open?
The 15 minute chart to mark the range and judge the closes, and the 5 minute chart if you want a more precise entry. Check the 1 hour chart first for the direction of the bigger trend.
Can ChartEdge read my London open chart?
Upload a screenshot of your 15 minute or 5 minute chart with the Asian range visible. ChartEdge reads the trend, the levels, an entry, a stop beyond invalidation and targets, and the position sizer turns your risk into a lot size. You still decide whether the setup is on.
Check your open setup on your own chart
Before the next London open, take a screenshot of your 15 minute gold or EUR/USD chart with the Asian range on it and upload it to ChartEdge AI. You get the bias, the key levels, a stop beyond invalidation and a size for your risk. 3 free analyses, no card required. Educational only, not financial advice.