How trading holidays affect marketss

National holidays greatly affect financial markets. The global trading volume decreases, resulting in decreased liquidity. The prices move less predictably, making it more difficult to close orders with a profit and potentially disrupting automated trading algorithms configured to work in more stable conditions. That might impact your trades and result in significant losses, so even a professional trader should be cautious during these illiquid days.

Stock market holidays are usually held on these days. National exchanges are closed, so traders cannot buy or sell major stocks. While you can still technically trade CFDs on stocks, low liquidity makes it riskier. Certain holidays affect the previous or the following trading session as well: for example, the NYSE session closes early on 3 July. That means you should always consider the Octa trading calendar when planning your trading time.