DislikedI am trend trading across 32 pairs using a combination of an MA cross, RSI and Stochastics. I only use daily charts and open or close trades at the close of the daily candle.
In my case my broker's day ends at 5:00 PM EST. You can probably guess why that is an issue. A period of low liquidity from 5 to 7PM EST (between New York and Tokyo) causes the spreads to be the highest of the day at that time.
My question is this:...Ignored
Secondly, are spreads really widening that much during that time? I don't know since I normally sleep, but I would assume that you get max a 3 to 5 pip higher spread during that time. If you scalp, then the spread is of course too high, but if you shoot for longer-term profits then I wouldn't worry about such an insignificant increase. But you could of course also go with the tokyo/sidney session, if your strategy requires you to have a tight spread, nothing wrong with that. Most of the time the market will do nothing before asia starts.
Yeah, don't place a trade late on friday, you don't know where price can gap to. Well, if you place the trade on sunday you have your spread issue again, not much liquidity in the market, but then you would have to wait for london, since this is the only one providing real liquidity on monday and thus lowering the spread. (just my opinion)
hope that helps.