Recently, a friend asked me when the U.S. stock market opens, and I found that a lot of people are a bit confused about this time difference. To put it simply, regular U.S. stock trading hours are from 9:30 to 16:00 Eastern Time. If you convert that to China time, during daylight saving time it’s roughly 21:30 to 04:00 the next day, and during standard time it’s 22:30 to 05:00. The key point is that the U.S. adjusts daylight saving time every year, so Asian investors need to keep adjusting their time difference accordingly—don’t mix it up.

In addition to regular trading, the U.S. stock market also has pre-market and after-hours trading. Pre-market trading starts at 04:00 Eastern Time and runs until just before the 9:30 open. During this period, trading volume is relatively smaller, but volatility can be relatively higher. After-hours trading runs from after the 16:00 close until 20:00 at night. These two time windows still offer opportunities for traders who want to buy the dip or plan positions in advance.

There are mainly three stock exchanges in the U.S. The New York Stock Exchange (NYSE) is the largest, mainly focused on large-cap stocks. NASDAQ is an electronic exchange, where technology stocks are concentrated—companies like Microsoft and Apple are listed on NASDAQ. The American Stock Exchange (AMEX) is the smallest, mainly dealing in small- and mid-cap stocks. Although the exchanges operate independently, their opening and closing times are basically synchronized.

One more thing to note is that the U.S. stock market has quite a number of market-closed days throughout the year, mainly U.S. public holidays. For example, important holidays such as New Year’s Day, Independence Day, Thanksgiving, and Christmas will all be market holidays. On some holidays, trading may even end early—about three hours before the usual close. So if you’re an Asian investor, be sure to pay attention to these holiday schedules to avoid showing up to trade only to find the market closed.

Overall, if you want to trade U.S. stocks steadily, first you need to understand the time difference and trading hours. Second, you should learn the characteristics of each exchange. Finally, don’t forget to mark the market-closure dates. That’s how you can seize opportunities in the U.S. stock market.