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What is after-hours stock trading?

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Quick Answer

After-hours trading is stock trading that takes place after the end of regular trading, which is 4:00 p.m. ET, on both the New York Stock Exchange and NASDAQ, according to Investopedia. After-hours trading runs from 4:00 p.m. to 8:00 p.m. ET, according to TradingDay.com.

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What is after-hours stock trading?
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Full Answer

Once reserved for large institutional investors and high-wealth traders, after-hours training, or AHT, has become more universally accessible, reports Investopedia. AHT presents more risks than regular-hours trading, including a lack of liquidity due to much lower trading volumes and wide price quote spreads, according to the U.S. Securities and Exchange Commission. Price uncertainty, competition from professional traders and computer problems are also obstacles.

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