|
Nasdaq.com refers to the Market Close as "an electronic entry by NASD Members to The NASDAQ Stock Market of the regular trading day's last reported trade. Investors may trade during the regular trading session from 9:30am - 4:00pm Eastern Standard Time. Trades must be submitted to NASDAQ within 90 seconds of the execution of the trade by an NASD Member Firm."
However, the end of the trading day is not the end of the financials trading. After Hours was at one time reserved for institutional investors, but that is no longer the case; individuals can also trade after hours.
Involvement by market makers and electronic communication networks (ECNs) is voluntary. Because of this, the after hours trading may offer less liquidity than that done during normal trading hours. It is recommended that, you are trading in pre-market or after-hours trading, you use a limit order. The After Hours Market runs from 4 p.m. to 6:30 p.m. EST for NASDAQ stocks and 4 p.m. to 8 p.m. EST for NYSE and Amex stocks.
To perform after hours trading, it's important to know the vocabulary associated with it.
After Hours Best Ask
The price at which someone sells a security offer to a NASDAQ security during the current day's After Hours market. It is also known as an asked price.
After Hours Best Bid
The price that a potential buyer is ready to pay for trading a NASDAQ security during the current day's After Hours market.
After Hours High
The after-hours high is the highest price a person bought the security during the current day's After Hours trading session.
After Hours Last Sale
An electronic entry by an NASD Member firm showing the price paid in purchasing a NASDAQ security during the current day's After Hours session. The trade report must be delivered to NASDAQ within 90 seconds after the execution of the trade.
After Hours Low
The after-hours low is the lowest price a person bought a security during the After Hours trading session.
After Hours Volume is an entry by an NASD Member firm presentating the number of shares included in a transaction of a NASDAQ security during the current day's After Hours session. The trade report must be delivered to NASDAQ within 90 seconds after the trade execution.
After Hours Percent Change: After Hours Percent change is the amount of increase or decrease by percentage between the last sale and the Market Close. |