After-Hours Trading

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After-Hours Trading refers to trading outside of traditional trading hours of the major securities and futures exchanges. The traditional hours of trade are from 9:30 a.m. to 4 p.m. Eastern Time.

With the rise of Electronic Communications Networks, or ECNs, individual investors gained access to the after-hours markets. Warning of additional risk [1] involved in the after-hours period of trade, the Securities and Exchange Commission notes on a page on its website dedicated to the issue of After-Hours Tradingthat while after-hours trading promises greater opportunities and convenience for individual investors, the after-hours market can be much more volatile and far less liquid.


References

  1. Trading Stocks After Hours is Risky. About.com.

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