Prop Firm News Trading Rules in 2026: Which Firms Allow It?
Most prop firms allow news trading in some form, but restrictions depend on the firm, program and account stage. As of 2026, PropFirmMap reports that 83 of 107 firms with documented policies allow it, while 24 restrict it. Common rules include short blackout windows around high-impact releases and bans on strategies such as news straddles. FTMO, The5ers and Topstep apply different approaches. Always verify the current rules for your specific account before trading a major announcement.
Introduction
You have a strategy built around CPI, Non-Farm Payrolls (NFP) or central-bank decisions, but prop firms seem to disagree about whether you can use it. Some allow news trading during evaluation but restrict it after funding; others permit holding positions through announcements while limiting order execution.
Understanding prop firm news trading rules means looking beyond a simple "allowed" or "not allowed" label. This guide compares the published rules for The5ers, FTMO and selected futures firms, explains blackout windows and penalties, and shows you what to check before buying an account.
What do prop firm news trading rules actually restrict?
Prop firm news trading rules define which actions are permitted around scheduled economic announcements. Depending on the firm, restrictions may apply to opening or closing positions, modifying orders, or allowing pending orders to execute during a specified window.
What counts as news trading?
News trading means taking or managing positions around economic announcements and the price movements they trigger. Firm rules may distinguish between:
- ●Opening a trade: entering a new position.
- ●Closing a trade: manually exiting an existing position.
- ●Modifying orders: changing an entry, stop-loss or take-profit.
- ●Pending-order execution: an order becoming active during the restricted window.
- ●Holding through news: keeping a position open during an announcement.
- ●Automatic exits: stop-loss or take-profit orders triggering during the window.
A firm may allow holding a position through CPI but restrict an order that executes during the event. Another may allow directional trading but prohibit placing buy-stop and sell-stop orders on opposite sides of the market.
Do unscheduled events count?
Not necessarily. Many policies focus on scheduled releases listed on an economic calendar. Unexpected geopolitical events or emergency central-bank announcements may fall outside that definition, but broader prohibited-practice rules can still apply.
If the policy is unclear, check the firm's general terms and ask support for written clarification.
Do most prop firms allow news trading?
Most firms in one 2026 comparison dataset allow news trading, but the overall figure does not determine the rules for a particular account.
PropFirmMap reports that 83 of 107 firms with documented policies allow news trading, while 24 restrict it, approximately 78% and 22%, respectively. This is a third-party dataset, not a complete industry census. Use it as a market overview rather than proof that a specific firm permits a particular strategy. PropFirmMap statistics
Why can evaluation rules differ from funded rules?
Evaluation accounts test whether traders can meet profit targets while respecting drawdown and other limits. Funded accounts may have additional rules governing eligible trading activity and rewards.
News can cause rapid price changes, wider spreads and slippage. A pending order may execute at a different price from the one expected, while a stop-loss may fill beyond its trigger price. Some firms therefore apply restrictions to specific account stages or order types.
FTMO, for example, says its news restriction does not apply during the Challenge and Verification stages or to Swing accounts. Covered standard funded accounts have different restrictions.
Take a look: FTMO FAQ
Passing an evaluation does not automatically mean that the same news-trading rules will apply after funding.
Which prop firms allow news trading in 2026?
The answer depends on the program and account stage. The5ers has different policies across High Stakes, Hyper Growth, Bootcamp and Futures. FTMO distinguishes standard funded accounts from evaluation and Swing accounts, while futures firms may use different risk rules.
The comparison below summarizes information reviewed for October 2026. Check each firm's current official terms before relying on it.
How do FTMO and The5ers handle news trading?
Table 1. Prop firm news-trading rules by program, as of October 2026. Official account terms take precedence over this comparison.
| Firm / program | News-trading approach | Important detail |
|---|---|---|
| FTMO Challenge and Verification | News trading permitted | The funded-account restriction does not apply |
| FTMO Standard funded | Restricted around selected releases | Two minutes before and after; covered executions include pending orders, stop-losses and take-profits on affected instruments |
| FTMO Swing | Exempt from the news restriction | Verify current program availability |
| The5ers High Stakes | News execution restricted around high-impact releases | Two minutes before and after; profits from restricted executions are deducted |
| The5ers Hyper Growth / Bootcamp | News trading generally allowed | Bracket strategies around news are prohibited |
| The5ers Futures | News trading allowed | Other risk and account rules still apply |
| Topstep | No fixed blackout window identified in the reviewed information | General account and risk rules remain in force; verify current terms |
| Apex Trader Funding | Conflicting third-party descriptions | Confirm the current rule directly with Apex |
The5ers: Its official news-trading FAQ was updated on August 10, 2026. It says Hyper Growth and Bootcamp allow news trading except for bracket strategies around news. For High Stakes, traders may hold positions through news, but execution within two minutes before or after high-impact announcements is prohibited. The firm says profits from executions during that window are deducted and do not count toward the target, while losses remain the trader's responsibility. The policy references Forex Factory for relevant events and uses server time.
The5ers' Futures FAQ was updated on July 15, 2026. It states that news trading is allowed in its Futures program, subject to other account and risk rules.
FTMO: Its official news-trading FAQ describes a two-minute-before and two-minute-after restriction on selected releases for covered accounts. The rule includes stop-loss, take-profit and pending-order execution on affected instruments. Challenge, Verification and Swing accounts are exempt from this restriction. FTMO warns that violations may result in account termination.
Topstep: The reviewed comparison information does not identify a fixed news blackout window. That should not be taken as permission to ignore account limits or use every news-related strategy. Confirm the current terms in Topstep's official help centre.
Apex Trader Funding: Third-party sources reviewed for this article disagree about the treatment of news trading across evaluation and funded accounts. Check the current program rules directly rather than relying on an unverified summary.
For further context, see Is The5ers Legit? Trustpilot Ratings, Payout Reliability and Trader Experiences (2026).
Also read: Prop Firms That Allow News Trading in 2026: The5ers, FTMO, FundedNext, FundingPips Rules Compared
How do news blackout windows and penalties work?
A blackout window is a defined period around an announcement when certain trading actions are restricted. Two minutes before and after a release is one common example, but it is not a universal standard.
How long are news blackout windows?
PropFirmMap's August 27, 2026, comparison of 34 firms that restrict news trading found that 19 published a specific minute window. The report includes examples of one-, two-, three-, five- and 30-minute restrictions. Policies that do not publish a simple time window may instead define restricted events or account types.
Related Read: News Trading Restrictions Across Prop Firms 2026: Who Actually Lets You Trade NFP and FOMC
A two-minute-before and two-minute-after rule spans four minutes in total, not four minutes on each side. Always confirm the event time zone and the firm's exact start and end times.
What happens if you break a news rule?
Consequences vary by firm. A violation may lead to profit deduction, invalidation of a trading day, account breach or termination.
Table 2. Common types of news-rule penalties, as of 2026. Not every firm uses every consequence.
| Consequence | What it means |
|---|---|
| Profit deduction | Profit from restricted execution is removed or excluded |
| Trading-day deletion | The day's result may no longer count |
| Account breach or termination | The account may be failed or closed |
| Further review | The firm assesses activity under its wider terms |
The5ers High Stakes describes profit deduction for restricted executions. FTMO warns that violating its covered news restriction may result in account termination. These outcomes are different, so read the applicable penalty clause before trading.
What are the risks of trading news on a funded account?
Even where news trading is permitted, traders remain exposed to slippage, spread widening, rapid reversals and account drawdown limits. Permission to trade during an announcement does not guarantee a particular fill price or protect an account from losses.
Does "allowed" mean protected from slippage?
No. A stop-loss may trigger at one price but fill at another. A pending order may execute after a sharp price jump, creating a larger loss than expected. Forex and CFD spreads can widen, while futures positions can move rapidly toward account loss limits.
Before trading news, consider:
- ●The maximum loss you can tolerate.
- ●Whether slippage could make that loss larger.
- ●How a sudden move affects daily and overall drawdown limits.
- ●Whether the firm's rules cover the specific order or strategy.
- ●Whether your strategy remains viable under volatile execution conditions.
A permitted trade can still be too risky for the account.
Are news straddle and bracket strategies allowed?
Not always. A straddle or bracket strategy places opposing pending orders around a release in an attempt to catch a sharp move in either direction. Some firms prohibit this even when they allow ordinary news trading.
The5ers prohibits bracket strategies around news on Hyper Growth and Bootcamp. Its policy describes placing buy-stop and sell-stop orders at the same time to capture a move after an announcement.
Apex's current approach should be confirmed directly because third-party descriptions reviewed for this article conflict. Never assume that a strategy permitted by one firm is allowed at another.
Helpful Read: Prop Firm Terms & Conditions Red Flags: Clauses That Can Deny Your Payout in 2026
How do you check a firm's news-trading rules before buying?
Read the official policy for the exact program and account stage. Comparison pages can help you identify questions, but the firm's current terms should guide your decision.
What should you verify?
- ●Program: Confirm the exact account type, not just the firm name.
- ●Stage: Check whether the restriction applies during evaluation, verification, funded trading or all stages.
- ●Timing: Verify the window before and after the release and the relevant time zone.
- ●Events: Check whether the rule covers all announcements or selected high-impact releases.
- ●Covered actions: Confirm whether it restricts entries, exits, modifications, stop-losses, take-profits and pending orders.
- ●Strategy restrictions: Search for "bracket," "straddle," "news exploitation" and "prohibited practices."
- ●Penalties: Determine whether the consequence is profit deduction, a failed account or another action.
- ●Updates: Check the policy's revision date and revisit it before a major release.
- ●Clarification: If uncertain, ask support a specific question and retain the written response.
Why can comparison lists become outdated?
Firms change rules, revise programs and sometimes stop operating. Finance Magnates reported in February 2025 that estimates from Finance Magnates Intelligence suggested 80–100 prop firms may have shut down during 2024. That figure is an industry estimate, not confirmation that any particular firm is inactive in 2026.
Check this out: Finance Magnates Intelligence
Use comparison sites as a starting point, then verify the live rules with the firm itself.
Summary: Key takeaways
- ●News trading rules depend on the program and account stage.
- ●Two minutes before and after an announcement is common in some programs, but not universal.
- ●The5ers allows news trading under different conditions across High Stakes, Hyper Growth, Bootcamp and Futures.
- ●FTMO exempts Challenge, Verification and Swing accounts from its covered funded-account restriction.
- ●Permission to trade news does not remove slippage, volatility or drawdown risk.
- ●Verify the event list, time window, covered actions, strategy restrictions and penalties in the firm's current terms.
A practical next step
If The5ers is on your shortlist, compare the news-trading rules for the specific program you are considering with those of other firms. Pay particular attention to the account stage, execution window, pending-order treatment and strategy restrictions.
Take a look: The5ers: Can I trade during news?
For a better understanding, read how The5ers' scaling program works: The5ers Scale-Up Plan Explained: How Traders Reach 100% Profit Split
For more prop firm comparisons, scaling guides, and trader education, explore Prop Firm Insider.
Risk note: Prop trading evaluations and funded-account programs involve trading and financial risks. Rules and eligibility can change. This article is educational, not financial advice; verify current official terms before purchasing or trading.