Introduction
If you’re an active trader, you know the importance of extended trading hours. Robinhood, the popular commission-free trading app, has been working on extending its trading hours for quite some time now. Finally, the wait is over, and Robinhood has announced the start date for its extended trading hours. In this article, we’ll discuss everything you need to know about the Robinhood extended hours start date.
What Are Extended Trading Hours?
Extended trading hours refer to the time outside of regular trading hours when stocks can still be bought and sold. The regular trading hours for the US stock market are from 9:30 a.m. to 4:00 p.m. Eastern Time. However, during extended trading hours, which typically start at 4:00 p.m. and end at 8:00 p.m., traders can continue to buy and sell stocks.
When Is the Robinhood Extended Hours Start Date?
Robinhood has announced that it will be rolling out extended trading hours in the coming weeks. The exact start date has not been announced yet, but it is expected to be in the first quarter of 2023. Robinhood has been testing extended trading hours with a select group of users since early 2022 and is now ready to roll it out to all users.
What Are the Benefits of Extended Trading Hours?
Extended trading hours offer several benefits to traders. One of the biggest benefits is the ability to react to news and events that happen outside of regular trading hours. For example, if a company reports earnings after the market closes, traders can react to that news immediately instead of waiting until the next day. Extended trading hours also offer more flexibility for traders who may not be able to trade during regular market hours due to work or other commitments.
How Will Robinhood’s Extended Trading Hours Work?
Robinhood’s extended trading hours will work similarly to those of other brokers. During extended trading hours, traders will be able to buy and sell stocks just like they would during regular market hours. However, it’s important to note that not all stocks will be available for trading during extended hours. Robinhood will only offer trading for select stocks during extended hours.
What Stocks Will Be Available for Trading During Extended Hours?
Robinhood has not yet announced which stocks will be available for trading during extended hours. However, it’s likely that the list will be limited to highly liquid stocks that are actively traded during regular market hours. This is because extended trading hours typically have lower trading volume, which can make it more difficult to execute trades for less liquid stocks.
How Will Extended Trading Hours Affect the Market?
Extended trading hours may have an impact on the market. Some experts believe that extended trading hours could lead to increased volatility as traders react to news and events outside of regular market hours. Others believe that extended trading hours could lead to increased liquidity and tighter bid-ask spreads.
Will There Be Any Changes to Robinhood’s Fees?
Robinhood has not announced any changes to its fees as a result of extended trading hours. However, it’s worth noting that some brokers charge additional fees for trading during extended hours. It’s possible that Robinhood could introduce additional fees for extended trading hours in the future, but for now, there are no changes to fees.
How Can You Take Advantage of Robinhood’s Extended Trading Hours?
To take advantage of Robinhood’s extended trading hours, you’ll need to have an account with Robinhood. Once the extended trading hours feature is rolled out, you’ll be able to trade during those hours as long as you have a funded account. It’s important to note that extended trading hours carry additional risks, such as lower liquidity and wider bid-ask spreads. It’s important to do your research and understand the risks before trading during extended hours.
Conclusion
Robinhood’s extended trading hours start date is highly anticipated by many traders. The additional trading hours offer more flexibility and the ability to react to news and events outside of regular market hours. While the exact start date has not been announced, it’s expected to be in the first quarter of 2023. As with any new feature, it’s important to do your research and understand the risks before trading during extended hours.
