Hi, I am a bit new to Forex trading, I understand its the holiday season and people are taking vacations so volume is lower than usual. I prefer to trade with decent volume but since the holidays are here with Christmas and new years how long will this low volume last? Will volume pick back up after new years? FYI I day trade Forex i shoot for about 5-10 pips a trade.

Hi Joe,

To provide you with a specific answer, December 2011 is a period of time when the markets collapsed to their lowest due to the latest economic and political events. As traders started losing their confidence in the austerity measures setup for fixing the crisis and since late December is the holidays season, most traders have stepped back and rather took the time to enjoy the holidays with their family rather than trade on such unstable markets.
Comparing to previous years, yes, the market is thinner, however as per the technological advances made, now-a-days even in the holidays season you can still trade decent lots.
Most probably, once the holiday season is over, the traded volumes will increase, however bear in mind that not many traders are comfortable with placing investments on such volatile markets, especially with the latest failed attempts to slow down the crisis.

Best Regards,
FXCC Representative

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