TACTICAL GUIDE Trading Mechanics

After-Hours Trading

Trade stocks before the market opens and after it closes. Here's how extended hours work, the risks involved, and which brokers offer it.

Trading Sessions (Eastern Time)

Pre-Market
4:00am - 9:30am
Regular Hours
9:30am - 4:00pm
After-Hours
4:00pm - 8:00pm

What Is Extended Hours Trading?

Extended hours trading lets you buy and sell stocks outside the regular NYSE/NASDAQ hours (9:30am-4pm ET). It includes pre-market (before open) and after-hours (after close) sessions.

This trading happens on Electronic Communication Networks (ECNs) that match buyers and sellers directly.

Why Trade After Hours?

React to Earnings

Most companies report earnings after market close or before open. After-hours trading lets you react immediately rather than waiting for the next day.

News Events

Major news can break any time. Extended hours let you act on breaking news without waiting.

Schedule Flexibility

Can't trade during work hours? Pre-market (4-9:30am) or after-hours (4-8pm) give you options.

Extended Hours Risks

Lower Liquidity

Fewer traders = wider bid-ask spreads. You might pay $50.10 to buy a stock that would cost $50.02 during regular hours.

Higher Volatility

With fewer participants, prices can swing more dramatically. A small order can move the price.

Limit Orders Only

Most brokers require limit orders for extended hours trading. Market orders aren't allowed because prices are too volatile.

Partial Fills

Your order might only partially fill due to low volume. You could end up with 50 shares when you wanted 100.

Which Brokers Offer Extended Hours?

Broker Pre-Market After-Hours
Robinhood7:00am - 9:30am4:00pm - 8:00pm
Webull4:00am - 9:30am4:00pm - 8:00pm
Fidelity7:00am - 9:28am4:00pm - 8:00pm
Schwab7:00am - 9:25am4:05pm - 8:00pm
Interactive Brokers4:00am - 9:30am4:00pm - 8:00pm
E*TRADE7:00am - 9:30am4:00pm - 8:00pm

How to Place After-Hours Orders

  1. Select "Extended Hours" or "After Hours" order type
  2. Use a limit order (required)
  3. Set your price carefully (check the current after-hours quote)
  4. Note: Order only valid for that session unless you specify otherwise

Best Practices

Always Use Limit Orders

Never use market orders in extended hours. The wide spreads can mean terrible execution prices.

Check After-Hours Quotes

The "last price" you see might be from 4pm. Look specifically at extended hours quotes before placing orders.

Be Prepared for Gaps

Your order might not fill, and the stock could gap significantly by regular open. Don't count on your extended hours order executing.

Start Small

Test with small positions until you understand how extended hours pricing works.

The Bottom Line

Extended hours trading is useful for reacting to earnings and news, but comes with real risks: lower liquidity, wider spreads, and potential for bad fills.

For most long-term investors, there's no need to trade after hours. For active traders, use it carefully with limit orders and small position sizes until you're comfortable.

Compare Extended Hours Access

Webull and IBKR offer the longest trading hours.

Compare All Brokers →