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HomeRight Arrow TerminologyRight Arrow Pre-Market Trading

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Pre-Market Trading

Pre-market trading refers to the buying and selling of securities before the official opening of the regular trading session. This period typically occurs for 1.5 hours before the opening bell.

Pre-market trading allows traders and investors to react to or prepare for breaking news, economic reports and other events that may impact market sentiment before the regular trading session begins. While pre-market trading is available on electronic exchanges such as Electric Communication Networks (ECNs), the liquidity is typically lower than during regular trading hours.

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