High-impact news, such as NFP, CPI and central bank decisions, moves markets fast, and prop firms handle it in very different ways. Before you trade a release, know which of these approaches your firm uses.
The four approaches
No restriction. News trading is allowed like any other trade, often only during the evaluation.
Time window ban. No opening or closing trades within a set number of minutes of listed events. The5ers High Stakes uses 2 minutes either side.
Profit reduction. Trades are allowed but profits are discounted. FundedNext counts only 40% of funded-account profit from trades within 5 minutes of high-impact events, while losses count in full.
Profit deduction on restricted events. Funding Pips may deduct profit from trades on affected currencies around events marked Restricted on its calendar.
Rules by firm
| Firm | Evaluation | Funded account |
|---|---|---|
| FundedNext | No restriction | 40% of profit within 5 minutes of high-impact news counts |
| The5ers High Stakes | No trades 2 min either side | Same |
| The5ers Growth | Allowed (no bracketing) | Allowed (no bracketing) |
| Funding Pips | Check program | Profit may be deducted on restricted events |
| Apex | No orders on both sides of a release | Same, plus consistency rules |
| FTMO | Depends on account type | Depends on account type |
[EDITOR: Re-verify each firm’s news rules monthly; they change often.]
Safer news trading
- Check your firm’s economic calendar, not a generic one: only listed events count.
- Close or protect positions before releases if your firm restricts them.
- Expect wider spreads and slippage around releases.
- Never place pending orders on both sides of a release.
For firms that suit news traders, see prop firms that allow news trading.
Why firms restrict news trading
Prop firm accounts are usually simulated. During releases, real markets see spreads widen, liquidity thin out and prices jump between levels. A simulated account may fill orders at prices that couldn’t be achieved in reality, so firms limit or discount news trades to keep results realistic and to manage their own risk.
A news-trading checklist
- Find the firm’s own economic calendar and which impact levels are restricted.
- Note the window: 2 minutes, 5 minutes, or longer.
- Check whether rules apply to opening, closing, or both, and to pending orders and stop-losses triggered in the window.
- Check whether evaluation and funded accounts differ.
- Confirm whether the rule causes a breach, a profit deduction, or nothing.
Example
At FundedNext, a funded trader makes $1,000 on a trade opened 3 minutes before a high-impact CPI release. Only 40% counts, so $400 is eligible for the payout split. If the same trade had lost $1,000, the full loss would count. News trading on funded accounts there is therefore only worth it if your edge is large.
Prop firms we currently recommend
-
1
FTMO Best overall
- Max account
- $200,000 (more via scaling)
- Profit split
- 80%, up to 90%
- Fee from
- €89 (≈ $10K account)
- Our rating
- 4.6 out of 5
-
2
FundedNext Best for MetaTrader users
- Max account
- $200,000 (up to $4M through scaling)
- Profit split
- 80%, up to 95%
- Fee from
- $59.99 USD (confirm at checkout)
- Our rating
- 4.4 out of 5
-
3
Funding Pips Best budget pick
- Max account
- $100,000 per account (scales to $2M)
- Profit split
- 60–100% (depends on payout cycle)
- Fee from
- About $29–$36 USD ($5K)
- Our rating
- 4.3 out of 5
FAQ
Can I trade news with a prop firm?
At many firms, yes, especially during evaluations. Funded accounts often restrict or discount profits from news trades.
What counts as a high-impact event?
Events marked high impact on the firm’s own calendar, such as NFP, CPI, FOMC and central bank decisions.
What happens if I trade during a restricted window?
Depending on the firm, profits may be removed, reduced or the account may breach. Check the rules first.