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News Trading For Funded Traders: What Changes |
Written by Renan Filho, Technology & AI specialist. Expiry dates and activation fees are always visible.
Quick Answer: News trading changes everything for funded traders. Prop firms like ftmo, apex, and topstep have specific rules on holding trades through economic releases. You must adapt your strategy or risk blowing your account. Here is what you need to know.
Key Facts for US Traders (2026)
| Market | Detail | Source |
|---|---|---|
| US indices | S&P 500, NASDAQ, Dow Jones | NYSE / NASDAQ |
| Regulator | CFTC (futures) / SEC (securities) | Official |
| Prop firm model | Funded evaluations with profit split 70-95% | Vendor terms |
| Verification | Updated regularly | PropFirmDiscountApp |
| Best deal today | Code DISCOUNTAPP — up to 90% off | Updated regularly |
Why news trading is different for funded traders
Retail traders can hold positions through any news event. Funded traders cannot. Most prop firms prohibit trading during high-impact news like fomc, cpi, or nfp. Violations lead to immediate account termination. You must check each firm's policy before entering a trade. Ignoring this rule will cost you your funding.
Ftmo: strict but fair for news traders
Ftmo bans trading during major news events from 2 minutes before to 2 minutes after. They enforce this with their automated system. I think ftmo is a solid firm for disciplined traders who plan around the calendar. Their profit target is 10% on a $100k account, and max drawdown is 5%. Worth it if you follow rules.
Apex vs topstep: two different approaches
Apex allows news trading but limits holding time to 5 minutes after a release. Topstep forbids it entirely during high-impact events. I prefer apex for flexibility, but topstep is better for risk-averse traders. Apex drawdown is 6% on a $50k account, topstep is 4%. Choose based on your style.
Fundednext and true forex funds: relaxed rules?
Fundednext permits news trading with no specific blackout periods, but they monitor slippage. True forex funds bans news trading during 1 minute before and after. Fundednext is a good deal for news scalpers. True forex funds is average. Both have $100k challenges at $500 and $450 respectively.
The5ers and e8 markets: low drawdown firms
The5ers has a 4% max drawdown and allows news trading only if you use a stop loss. E8 markets has a 5% drawdown and bans news trading during gdp and unemployment. The5ers is tough but fair. E8 is decent for swing traders. Neither is ideal for high-frequency news scalping.
Quick Comparison
| Firm | News Trading Allowed | Max Drawdown | Profit Target | Evaluation Fee ($100k) |
|---|---|---|---|---|
| FTMO | No (2 min before/after) | 5% | 10% | $155 |
| Apex | Yes (with 5 min hold limit) | 6% | 10% | $147 |
| Topstep | No (high-impact only) | 4% | 10% | $165 |
| FundedNext | Yes (no blackout) | 5% | 10% | $500 |
| True Forex Funds | No (1 min before/after) | 5% | 10% | $450 |
| The5ers | Yes (stop loss required) | 4% | 10% | $199 |
| E8 Markets | No (gdp, unemployment) | 5% | 10% | $250 |
Frequently Asked Questions
Can I trade news on FTMO?
No, FTMO blocks trading 2 minutes before and after major news. Violation ends your challenge.
What happens if I breach during a news event on Apex?
Apex may close your trade manually if you exceed the 5-minute hold limit. You lose the account.
Do prop firms allow scalping during news?
Most do not. Scalping is risky because spreads widen. Only FundedNext and The5ers allow it with strict stops.
Which prop firm is best for news trading?
FundedNext offers the most freedom. No blackout periods and low drawdown. Good deal for news traders.
Can I use an EA to trade news on funded accounts?
Not recommended. Most firms ban automated trading during news. Check each firm's EA policy first.
Conclusion
News trading requires a funded trader to know each prop firm's rules. FTMO is strict but reliable. FundedNext gives more freedom. Use code NEWS10 at FTMO for 10% off the $155 evaluation. Click here to start.
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Risk warning: Trading involves substantial risk of loss and is not suitable for every investor. Past performance is not indicative of future results. Prop firm evaluations are simulations, not regulated brokerage accounts.