What is after hours stock trading ?After hours stock trading and pre market stock trading are jointly known as extended trading hours possibilities. But what does it mean ? And how is stock market after hours trading and pre market trading possible and could be profitable ? Standard hours for stock trading First basic knowledge is that there are standard stock market trading hours . During these standard hours all is working under best rules offered by stock exchanges. Take US stock market trading hours as example. They are from 9:30a.m. till 4:00 p.m. Eastern time (New York time). Extended hours for stock trading But there is also possible to enter orders and execute trades outside these trading hours. There are several market places connected to main stock exchanges or parts of stock exchanges which allow to enter and execute orders during these extended trading hours. Pre market stock trading hours are typically from 8:00 a.m. till 9:15 a.m.ET (New York time) for Nasdaq and Nyse stocks. But using NYSE Arca ECN you can enter and execute orders already from 4:00 a.m. to 9:30 a.m. ET After hours stock market trading could be done from 4.00 p.m. till 8:00 p.m. on NYSE and till 6:30 p.m. on Nasdaq. I do not do regular trading during these extended stock market trading hours. Market prices are not so stable, also liquidity is not so good. No price is guaranteed and price can be manipulated a lot (news and so). My Tip : I like to use some huge price movements in my favor to exit from position or sell part of my position during pre market trading hours. I incorporated this rule into
my stock trading strategy.
Could be after hour stock trading profitable ? I personally know traders who use special event driven momentum trading strategy and trade mostly during these hours. And are profitable. But this type of trading is very specific and strategy must be learned and realized perfectly. Return from after hours stock trading back to stock market trading tips
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