How to Trade Stocks 24/5 (And Why You Shouldn’t)

The stock market bell used to ring at 4:00 PM. Not anymore. As of 2026, major exchanges like NYSE Arca and Nasdaq have shifted to a “23×5” trading model, allowing trading almost 24 hours a day, 5 days a week. While you can now trade at 2:00 AM, the new “Night Session” is a dangerous landscape. Liquidity is razor-thin, and the SEC has flagged this zone for high risk. Here is how to navigate the sleepless market without getting crushed.

BMT Investing Team BMT Investing Team · 📅 Feb 2026 · ⏱️ 7 min read · INVESTING › TRADING
Hours
23×5
Sunday-Friday (ET)New
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9 PM – 4 AM SessionWarn
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Limit
Strict RequirementRule

1. The Rule: 23 Hours, 5 Days

Thanks to updated DTCC settlement infrastructure, the US market is now effectively global.

The “Blue Ocean” Shift
What it is: Trading is now available from Sunday 8:00 PM ET through Friday 8:00 PM ET, with only brief pauses for system resets.
Who participates: Mostly Asian/European investors adjusting to US news, and algorithmic bots.
SEC 2026 Update: Regulators now require brokers to provide specific “Risk Disclosures” before letting retail traders access the Night Session.

2. The New 4-Session Schedule (Checklist)

Time zones matter. All times below are Eastern Time (ET).

Session Time (ET) Characteristics
Pre-Market 4:00 AM – 9:30 AM Reaction to Europe open. Volatility increases.
Regular Market 9:30 AM – 4:00 PM Safe Zone. Maximum liquidity and tight spreads.
After-Hours 4:00 PM – 8:00 PM Earnings Season volatility. High volume bursts.
Night Session 8:00 PM – 4:00 AM “Zombie Zone.” Extremely low liquidity. High spreads.

3. Timeline: The Liquidity Drought

Just because the market is open doesn’t mean it is safe. The chart below shows how trade difficulty spikes overnight.

Time Slot Volume Execution Risk
4:05 PM High
Active (Earnings News)
11:00 PM Low
Wide Spreads
2:00 AM Dead
Extreme Slippage
Planning Note
If you attempt to trade during the Night Session (8 PM – 4 AM), it is generally critical to set a “Limit Price” strictly, as a Market Order could trigger at a price significantly worse than what is displayed on your screen.

4. Strategy: The “Limit Order” Mandate

In the 24/5 market, market orders are often disabled by brokers for your safety.

  • The Mechanism: You must select “Night” or “Overnight” duration on your trade ticket.
  • The Defense: Use a Limit Order. This tells the computer: “Buy at $100. If the price is $100.01, do nothing.”
  • The Trap: Without a limit order, a low-volume “ghost” offer at $120 could fill your buy order, instantly putting you at a 20% loss.

5. Warning: The “Morning Gap”

Overnight prices are often an illusion.

⛔ The 9:30 AM Reset

A stock trading at $110 at 3:00 AM doesn’t mean it will open at $110.

  • Scenario: Low volume pushes a stock up 5% overnight.
  • Reality: When the “real money” (institutional investors) arrives at 9:30 AM, they may ignore the overnight action completely.
  • Risk: The price “gaps” back down instantly, trapping overnight buyers.

6. Frequently Asked Questions

Can I trade on Sunday?
Yes. Under the 24/5 model, trading generally opens Sunday evening (around 8:00 PM ET), reacting to Asian market opens.
Do Stop-Losses work overnight?
Generally, no. Most brokers do not trigger Stop-Loss orders during the Night Session to prevent you from being “stopped out” by a random low-volume spike.