Trading Hours: When Does The Stock Market Open and Close? - Stock Analysis (2024)

FAQs

Trading Hours: When Does The Stock Market Open and Close? - Stock Analysis? ›

Key Takeaways. Most of the world's stock exchanges are open during regular business hours, in local time. Regular trading hours for the NYSE and Nasdaq are Monday through Friday from 9:30 a.m. to 4 p.m.

When does the market open? It's certainly a simple question, but one with more answers than you'd think. The regular trading hours for the U.S. stock market, which includes the Nasdaq Stock Market (Nasdaq) and the New York Stock Exchange (NYSE), are 9:30 am to 4 pm, except on stock market holidays.

The opening period (9:30 a.m. to 10:30 a.m. Eastern Time) is often one of the best hours of the day for day trading, offering the biggest moves in the shortest amount of time. A lot of professional day traders stop trading around 11:30 a.m. because that is when volatility and volume tend to taper off.

Normal Trading takes place from 10:00 am to 4:00 pm, Sydney time.

After-hours trading can have a significant impact on stock prices. Price volatility can be more pronounced during after-market trading due to lower volumes. If a company releases strong earnings after the market closes, its stock price may surge in after-hours trading as investors react to the news.

Trading in stocks and funds in the U.S. usually takes place during the hours of 9:30 a.m. to 4 p.m. Eastern time. Anything outside those times is considered extended hours, including pre-market trading, which runs from 4 a.m. to 9:30 a.m. Eastern time. The after-hours session runs from 4 p.m. to 8 p.m. Eastern time.

The 3-5-7 rule in trading is a risk management guideline that suggests limiting the amount of capital you put into any single trade. According to this rule, you should not risk more than 3% of your trading capital on any one trade, no more than 5% on any one sector, and no more than 7% on all trades combined.

What Is the 11am Rule in Trading? If a trending security makes a new high of day between 11:15-11:30 am EST, there's a 75% probability of closing within 1% of the HOD.

Some traders follow something called the "10 a.m. rule." The stock market opens for trading at 9:30 a.m., and the time between 9:30 a.m. and 10 a.m. often has significant trading volume. Traders that follow the 10 a.m. rule think a stock's price trajectory is relatively set for the day by the end of that half-hour.

What are your trading hours? ›

The 3-Day Rule in stock trading refers to the settlement rule that requires the finalization of a transaction within three business days after the trade date. This rule impacts how payments and orders are processed, requiring traders to have funds or credit in their accounts to cover purchases by the settlement date.

The best times to day trade

Day traders need liquidity and volatility, and the stock market offers those most frequently in the hours after it opens, from 9:30 a.m. to about noon ET, and then in the last hour of trading before the close at 4 p.m. ET.

Regular trading hours for the NYSE and Nasdaq are from 9:30 a.m. to 4 p.m during the week. Trades that are executed out of this time are considered pre-market or after-market trades, though those trades may not actually execute until market open.

The regular schedule for the New York Stock Exchange and Nasdaq is Monday through Friday from 9:30 a.m. to 4 p.m. Eastern time with weekends off. There are also certain closures for stock market holidays.

After-hours trading refers to trading in stocks and exchange-traded funds (ETFs) that occur after the regular market closes. It allows investors to buy and sell securities outside of normal trading hours for a variety of purposes, including responding to news or data releases that occur after the close.

Investors are only able to engage in after-hours trading at brokerages that offer this capability, or through financial advisors who offer this type of expertise and access. While many online brokerages offer the service, you should read up on fees charged and the brokerage's rules for trading during these hours.

Stock market hours FAQ

The U.S. stock market opens at 9:30 a.m. Eastern Time and closes at 4:00 p.m. Eastern Time, Monday through Friday. However, there are extended trading hours available before and after regular market hours for certain exchanges.

After-hours trading may also affect a stock price if the company has also released important news or earnings after the market has closed. Not only may this information positively or negatively impact the valuation of the security, but traders may attempt to capitalize on this new information.