How to Trade Stocks Premarket

Here's how to take advantage of stock market premarket trading opportunities today, and protect yourself across volatility.

Choose the right broker

Open an account with Exness.com to trade the following Nasdaq and NYSE-listed stocks on a premarket basis, Monday to Friday, from 10am GMT:

  • Advanced Micro Devices, Inc (AMD)
  • Alibaba ADR (BABA)
  • Amazon.com, Inc. (AMZN)
  • AMC Entertainment Holdings Inc (AMC)
  • Apple Inc (AAPL)
  • Baidu Inc (BIDU)
  • Bank of America Corp (BAC)
  • Berkshire Hathaway Inc (BRK)
  • Beyond Meat Inc (BYND)
  • Bilibili Inc ADR (BILI)
  • BlackBerry Ltd (BB)
  • Boeing Co (BA)
  • Citigroup Inc (C)
  • Fortinet Inc (FTNT)
  • Futu Holdings Ltd (FUTU)
  • Intel Corporation (INTC)
  • JD.com Inc (JD)
  • Johnson & Johnson (JNJ)
  • Li Auto Inc (LI)
  • Meta Platforms Inc (META)
  • Microsoft Corp (MSFT)
  • NetEase Inc (NTES)
  • Netflix Inc (NFLX)
  • Nio Inc ADR (NIO)
  • NVIDIA Corp (NVDA)
  • Oracle Corp (ORCL)
  • PayPal Holdings Inc (PYPL)
  • PDD Holdings Inc ADR (PDD)
  • Pfizer Inc. (PFE)
  • TAL Education Group (TAL)
  • Taiwan Semiconductor Mfg. Co. Ltd (TSM)
  • Tesla (TSLA)
  • Up Fintech Holding Ltd (TIGR)
  • Wells Fargo & Co (WFC)
  • Xpeng Inc ADR (XPEV)

Please note that it is only possible to close existing positions during premarket hours. You'll need to wait until market open to place buy orders. Trade over 90 stocks through Exness, as well as CFDs on stock indices, Forex and commodities with little to no swap fees, depending on the asset class. Visit Exness.com to open an account in under 1 minute.

Benefits of Premarket Trading

  • Get ahead of the curve: the early bird gets the worm, as the saying goes. Premarket trading provides a window into how the stock market is likely to open. These insights can inform your trading strategy, giving you a head start as you enter the regular session.
  • React to news: in a fast-paced financial world, information is everything. Premarket trading empowers you to react to news events that occur outside of regular trading hours. Imagine a scenario where a company releases stellar earnings results after the closing bell. Premarket trading could allow you to secure the stock at a more favourable price before the market fully digests the news.
  • Convenience: unlike regular trading hours that often clash with work or life commitments, premarket trading extends the window of opportunity. Whether you're an early bird or a night owl, premarket trading makes it possible to participate in the market at a time that works for you.

Risks of Premarket Trading

  • Limited liquidity: while premarket trading offers convenience, it often comes at a cost - limited liquidity. Trading volume during these hours tends to be lower compared to regular trading hours. The smaller number of participants will make it harder to find buyers or sellers for your trades. This can also lead to wider bid-ask spreads, potentially eating into your profits.
  • Increased volatility: with fewer participants in the premarket arena, volatility tends to reign supreme. Prices can swing more wildly during this time due to the absence of the full market contingent. Investors should exercise caution, trade with smaller position sizes and use little to no leverage to protect against rapid price fluctuations.
  • Risk of slippage: slippage, defined as the difference between expected and actual trade prices, can be exacerbated by the limited liquidity during these hours. Traders are advised to remain vigilant and use appropriate risk management strategies.

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Author

About the author

I'm Stéphane, a trader and an entrepreneur. My mission with TrustedBrokers is to help you find the right broker for you, whether you're a beginner or a pro. I've personally used and tested the brokers on our service, opening and funding real-money accounts, contacting customer service and placing trades. I started my career in investment banking in London.

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