Hours for rumor trading before news breaking
The thrill of rumor trading!
Rumor trading, also known as "whisper trading" or "insider trading," refers to the practice of buying or selling a security based on unconfirmed or unverified information, often before the news is publicly disclosed. This can be a high-risk strategy, as the accuracy of the rumor is not guaranteed, and the market can quickly reverse course if the news is not as expected.
That being said, here are some general guidelines on the typical hours when rumors may circulate before news breaks:
- Pre-market hours: 8:00 AM - 9:30 AM ET (15:00 - 16:30 GMT): This is a common time for rumors to start circulating, as traders and analysts begin to react to overnight news and market developments.
- Morning trading hours: 9:30 AM - 11:00 AM ET (16:30 - 17:00 GMT): As the market opens, rumors may continue to spread, especially if there are significant price movements or unusual trading activity.
- Lunchtime: 11:00 AM - 1:00 PM ET (17:00 - 19:00 GMT): This is often a slower period for trading, but rumors may still circulate, especially if there are significant news events or earnings releases scheduled for later in the day.
- Afternoon trading hours: 1:00 PM - 3:00 PM ET (19:00 - 21:00 GMT): As the market approaches its close, rumors may intensify, especially if there are significant price movements or trading activity.
Keep in mind that these are general guidelines, and the timing of rumors can vary depending on the specific market, news event, or company. It's essential to stay informed and vigilant when trading, as rumors can quickly spread and impact market prices.
Remember, rumor trading is a high-risk strategy, and it's crucial to verify the accuracy of the information before making any trading decisions. Always prioritize due diligence and risk management when trading in the markets.