Some Expert Advisors and indicators have some time settings for correct work. How can we set a correct GMT Offset? Today we will learn how to do it correctly.
Why do we need to find a GMT offset? It is required because of the foreign exchange markets around the world open and closes at different times. For example, some trading strategies start trading during the European session other during North American Session. Others may stop trading during the Asian session.
What is GMT Offset?
Greenwich Mean Time (GMT), also called Universal Time Coordinated (UTC) is used as the official world reference for time. You will often see time zones represented similar to UTC – 3h or GMT – 3h. In this example, the (-3h) refers to that time zone being three hours behind UTC or GMT. UTC+3h or GMT +3h would refer to that time zone being three hours ahead of UTC of GMT. The difference in time between our local time and GMT (UTC) is called GMT Offset.
Why is the GMT Offset Very Important?
All brokerage companies are located in different countries with their own GMT offsets. Therefore it is so important to set the correct GMT Offset in the expert advisors or indicators settings.
Important Notice! For the MT4 terminal, we need to know the time difference between GMT time and broker’s time , not our local time!
How to find GMT Offset
The Internet gives many different ways to do it, but I’ll tell you the easiest.
On my website, look at the top widget in the right sidebar.
Now we need to open the MetaTrader terminal and check the Market Watch section.
Next, look for the formula:
(Market Watch hours) – (GMT Time hours) = Correct GMT Shift
As in the example above: 15 – 12 = 3 (GMT +3).
That’s all. Really very simple? I hope this info will help.
Just add this website to bookmarks (press CTRL+D in the browser), and you’ll always be able to set the correct GMT Offset for your trading soft.