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Trading that happens before the market officially opens at 9:30 AM.
Why It Matters
Pre-market is where the day's tone gets set. Futures trading, overseas market action, and early morning news (like jobs reports at 8:30 AM) all influence pre-market prices. If you see your stock up 5% pre-market, don't celebrate yet - it might open flat. Same rules as after-hours: low liquidity, wider spreads, use limit orders.
Key Points
- Most brokers allow pre-market trading from 7-9:30 AM; some as early as 4 AM
- Economic data releases (jobs, inflation, GDP) often come out at 8:30 AM, moving markets
- Pre-market volume is typically 5-10% of regular session volume - prices are less reliable
Related Terms
Common Questions
Trading that happens before the market officially opens at 9:30 AM. Pre-market is where the day's tone gets set. Futures trading, overseas market action, and early morning news (like jobs reports at 8:30 AM) all influence pre-market prices.
Pre-market is where the day's tone gets set. Futures trading, overseas market action, and early morning news (like jobs reports at 8:30 AM) all influence pre-market prices. If you see your stock up 5% pre-market, don't celebrate yet - it might open flat. Same rules as after-hours: low liquidity, wider spreads, use limit orders.
Most brokers allow pre-market trading from 7-9:30 AM; some as early as 4 AM
Economic data releases (jobs, inflation, GDP) often come out at 8:30 AM, moving markets
Pre-market volume is typically 5-10% of regular session volume - prices are less reliable