Extended hours trading allows investors to react instantly to the latest company events or key economic indicators announcements and take action without waiting for the start of the core trading session. With the time zone difference, it also allows investors to trade at more convenient times.
Compared to core hours trading, there are generally less investors participating in the extended hours trading and therefore it is of lower liquidity. Prices are usually more volatile and price spreads between the bid and ask prices are wider during extended hours due to less trading activity. As a result, you may find that your order is more difficult to get executed and in some cases is of less favorable price than what you could have in core trading hours.
Trading in Extended Trading Hours may come with additional risks and may not be appropriate for all investors. Please refer to the risk disclosure under our Customer Agreement for more details.
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