fbpx

News Trading Policy/Rule and Restriction?

In Depth understanding about Trading during High Impact News

News Trading Policy

General Rule

News trading is not allowed on any Simulated funded accounts.

Simulated Challenge Accounts

During the simulated challenge phase, news trading is permitted. Traders can engage in news trading activities without restrictions. However, we closely monitor account behavior, particularly looking for instances where a trader rapidly passes the challenge phase in a few seconds with a high lot size due to news trading. If such behavior is detected, the account may be reverted back to phase-1 for review.

Simulated Funded Accounts

During the simulated funded phase, news trading is prohibited unless the news trading add-on is purchased during the challenge phase. Detailed explanation below:

News Trading Rules for Simulated Funded Accounts

High-Impact News Events

  • No trades, including limit and stop orders, may be executed 2 minutes before and 2 minutes after a high-impact news event (total of 4 minutes).

  • Trades opened before this 4-minute window can be held, but no account activity (closing trades, executing trades, stop loss hits, take profit hits) is allowed during this time.

  • Any activity during this 4-minute window will result in immediate termination of the funded agreement, account cancellation, and forfeiture of any profits.

  • You are not allowed to trade any pair during news events marked with a red folder on ForexFactory.

Red Folder News

For high-impact news events, only Red Folder news needs to be avoided. You are not permitted to trade any pair during these Red Folder news events. Follow the calendar and Red Folder news from ForexFactory.

Note: “All Day” marked red folder events will not be counted as news-restricted events since there are no specified times for the data releases.

Exception for News Trading ADD-On

If you purchase your account with the News Trading ADD-On, news trading will be allowed in both the challenge phase and the funded account phase. The above restrictions will not apply to these accounts.

DISCLAIMER: All information provided on this site is intended solely for educational purposes related to trading on financial markets and does not serve in any way as a specific investment recommendation, business recommendation, investment opportunity analysis or similar general recommendation regarding the trading of investment instruments. ThinkCapital only provides services of simulated trading and educational tools for traders. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local laws or regulations. ThinkCapital does not act as a broker and does not accept any deposits. The offered technical solution and data feed is powered by liquidity providers.