Can I trade futures at night?

Trading and Investing Helping Traders
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Hello everyone,

I am considering trading in the futures market and would like to know if they trade at night. Can someone provide some insight into this topic?

Do futures markets trade 24 hours a day, or are there certain hours when they are closed?

If they trade at night, what are the typical hours of operation, and are there any restrictions or limitations?

Are there any differences between daytime and nighttime trading as far as liquidity, volatility, or other important factors that traders should be aware of?

Are there any advantages or disadvantages to trading in the futures market at night compared to during the day?

Are there any special strategies or approaches traders use when trading in the futures market at night?

I would appreciate any information or insights that you can provide. I am trying to understand better the futures market and how it operates so that I can make informed trading decisions. Thank you for your time and assistance.

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Hi @DJB20, welcome to the community! We appreciate your interest in our discussion and your questions.

You’ve raised a valid point - the markets are active almost 24 hours daily. Here at the community, our responses will mainly focus on the CME (Chicago Mercantile Exchange), but if your query pertains to a foreign futures market, please let us know.

We will primarily address the liquid futures markets popular among retail traders, such as the E-mini S&P, NASDAQ, Crude Oil, Gold, and their Micro Futures counterparts.

The day trading session ends at 5 PM Eastern Daylight Time (EDT), and the night trading session starts at 6 PM EDT. It is generally accepted that the day session has higher liquidity than the night session, which might make it more challenging for traders using larger lot sizes. Additionally, the time it takes to fill limit orders may be longer during the night session.

However, it’s important to remember that certain events can trigger market volatility that affects both day and night sessions. These markets are, after all, watched by traders worldwide, and are therefore influenced by macro events.

Some traders may enjoy the comparatively “quiet” nature of night sessions and the slower price movements, but this is offset by the reduced liquidity, which we’ve already discussed. Remember that price gaps are more likely to occur when liquidity is low.

Let us know whether this addresses your questions, and those who trade at night may jump in and add their thoughts.

Best,
Matt Z
Optimus Futures

There is a substantial risk of loss in futures trading. Past performance is not indicative of future results.

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