Investing Dictionary
Basics

What is After-Hours Trading?

Trading after the market closes at 4 PM ET

Full Explanation

After the market closes at 4 PM ET, you can still trade until 8 PM ET. Like pre-market, volume is low and spreads are wider. Earnings released after close cause the biggest after-hours moves.

Pro Tip

The after-hours price often stabilizes once regular trading opens the next day.

Related Basics Terms

Inflation

Prices rising over time, making your money worth less

IPO

When a company goes public for the first time

Limit Order

Buy or sell only at a specific price or better

Liquidity

How easy it is to buy or sell something quickly

View all Basics terms →

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