On Monday, May 26th (Memorial Day), most U.S. exchanges and certain futures markets observe early closures or full holiday breaks, while other global markets (FX, crypto, European indices) trade normally. Being aware of these schedule shifts—and their impact on liquidity, spreads, and gap risk—helps you protect open positions and spot new opportunities in markets that remain active.

What Is Memorial Day and Why It Matters?

Memorial Day is a U.S. federal holiday honoring fallen service members, observed on the last Monday in May. Most U.S. equity and derivative exchanges close or shorten their hours, while many other global markets (Forex, crypto, some European exchanges) continue without interruption.

Because U.S. markets account for a large share of global volumes, Memorial Day often leads to thinner order books worldwide, wider bid-ask spreads, and potential slippage—even in markets that remain “open”.

Memorial Day Trading Hours Changes

Asset-Specific Hours on Monday, May 26th

  • Forex Pairs: Normal hours.
  • Cryptocurrency: Normal hours.
  • EU Indices: Normal hours. See exceptions below
    • DAX 40: Early close at 20:00 GMT.
    • UK100 (FTSE 100): Closed.
  • US Oil (WTI): Early close at 18:30 GMT.
  • UK Oil (Brent): Early close at 17:30 GMT.
  • Natural Gas (NGAS): Early close at 18:30 GMT.
  • US Indices & Nikkei: Early close at 17:00 GMT.
  • US Stocks: Closed.
  • Metals: Early close at 18:30 GMT.

Why These Changes Matter

  1. Liquidity Dry-Up: With U.S. stocks and many futures markets offline, order books thin out, making large orders more likely to move prices.
  2. Wider Spreads & Slippage: Reduced participation can widen bid-ask spreads, increasing transaction costs and execution risk.
  3. Gap Risk: News events (e.g., geopolitical updates, inventory figures) that hit while a market is closed can trigger sharp gaps on reopen.

Practical Tips for Traders

1. Review and Manage Open Positions

Audit any positions in markets that will close or close early. If you hold WTI or NGAS futures, consider reducing size or using options to hedge against overnight gap risk.

2. Avoid Inactive Order Zones

Cancel or adjust resting orders on instruments closing for the day (e.g., US Indices, UK100). Stale orders can execute at unfavorable prices when trading resumes.

3. Shift Focus to Open Markets

  • FX Trading: With major currency pairs active, Asian and U.S. sessions often see higher relative volume.
  • Commodities: Inventory data (e.g., EIA reports) or OPEC announcements may spark moves in energies and metals.
  • Crypto: Markets remain 24×7; look for volatility spillover from equities.

4. Monitor Spreads and Slippage

Use real-time quotes to track widening spreads in even “open” markets. Consider scaling back position sizes to limit transaction costs.

Best Practices for Holiday Trading

  • Tighten Risk Controls: Employ stricter stop-loss levels to protect against amplified moves in thin markets.
  • Plan Around Economic Data: U.S. holiday may pause domestic releases, but Asian and European calendars remain active—be ready for surprise moves.
  • Use Alternative Hedging: Short-dated FX options or intraday commodity spreads can mitigate gap‐risk exposure.
  • Stay Informed: Follow live news feeds and platform alerts for holiday schedule updates or emergency trading halts.

Conclusion

Memorial Day brings a unique market environment: some venues close or shorten sessions, while others hum along. By proactively reviewing positions, canceling inactive orders, and reallocating focus to open markets, you can manage risks and even capitalize on the holiday’s thinner liquidity. If you have questions or need assistance adapting your setup, reach out to our Support Team for guidance.