Traders at prop firms use news events, like central bank announcements, earnings reports, or economic data releases, to predict market reactions and make swift trading decisions. Therefore, news trading in prop firms play a role by capitalizing on market movements resulting from major economic and financial news releases. The primary benefit of news trading is the potential for substantial profits due to the high volatility and significant market movements that news can trigger. This trading approach can provide prop firms with an edge, as it leverages the immediate impact of news on financial markets, allowing for quick and informed trading decisions. However, it requires a deep understanding of market dynamics and decision-making skills, as trading around news events can also lead to heightened risks due to sudden and unpredictable market movements. Below you will find a list of prop trading firms that enable news trading:
