Prop Firms That Allow News Trading in 2025

News trading is back on the table for proprietary traders in 2025. Unlike older firms that banned trading during market-moving events, eight modern prop firms now allow active trading during high-impact news releases like NFP, CPI, and FOMC announcements. This shift gives traders the freedom to open, close, or adjust positions during volatile moments, creating new opportunities in the fast-paced trading world.

Here’s what you need to know:

• News Trading: Full flexibility to trade during events – no blackout periods or restrictions.
• News Holding: Limited to maintaining pre-existing positions during news releases.
• 8 Verified Firms: Four futures-focused (e.g., FundingTicks, Apex Trader Funding) and four forex/CFD-focused (e.g., FundingPips, E8 Markets) firms now allow unrestricted news trading.
• Automation-Friendly: Most firms support tools like Expert Advisors (EAs) as long as they meet compliance standards.
• Compliance Rules: Avoid banned practices like news-passing services, latency arbitrage, and account sharing to stay within firm guidelines.

These firms have redefined the rules, offering traders the tools, flexibility, and platforms they need to capitalize on market volatility during key economic events.

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Why News Trading Matters

Economic news releases often spark dramatic market movements, leading to sharp and sudden price shifts. Announcements like Non-Farm Payroll (NFP) data or Federal Reserve interest rate decisions bring heightened volatility, creating potential profit opportunities for traders who are quick and mindful of the risks.

Opportunities in High-Impact News Events

Major economic events generate a level of market volatility that’s uncommon during regular trading hours. While prices typically move in a steady rhythm, announcements like the monthly NFP release can cause abrupt surges. The predictable timing of such events gives traders a chance to prepare their strategies in advance. When the released data deviates significantly from forecasts, the market often responds with clear, directional price movements that can last for several minutes – an ideal window for swift action. However, these high-stakes moments come with their own set of difficulties.

Challenges of News Trading

One of the biggest hurdles is slippage, where orders execute at prices different from what was expected during rapid market moves. This can result in reduced profits or even increased losses, making precise execution critical. Delays in execution and strict risk management rules add another layer of complexity, as even small missteps during these volatile periods can lead to significant consequences, including account termination [8].

Additionally, market reactions can be highly unpredictable. Prices may reverse direction unexpectedly due to various influencing factors, complicating trading decisions. While older trading models often prohibited news trading entirely, modern practices allow it under controlled conditions. This enables skilled traders to navigate these volatile moments effectively, provided they adhere to strict risk management strategies.

News Trading vs. News Holding: Key Differences

Grasping the difference between news trading and news holding is essential when navigating prop firm policies. These two terms represent distinct strategies for handling positions during major economic announcements.

What Does ‘News Trading Allowed’ Mean?

When a prop firm allows news trading, it means traders have full flexibility to manage their positions during live economic events. This includes opening, closing, scaling, or adjusting trades without any restrictions tied to the timing of the announcement. In other words, there are no blackout periods or mandatory hold times.

With this policy, traders can place market, limit, or stop orders at any time during a news release. They can also react to breaking economic data by adding to existing positions or initiating new ones, taking advantage of the rapid price movements that often occur within moments of major announcements. This approach offers maximum freedom to capitalize on the market’s immediate reaction to news.

What Is ‘News Holding Allowed’?

News holding allowed is a more controlled policy. It permits traders to keep their current positions open during news events but restricts them from opening new trades or modifying existing ones during the release window. Essentially, if a trader is already long or short before the announcement, they can maintain their exposure, but they cannot take any new actions until the blackout period ends.

Typically, firms with news holding policies enforce blackout windows that begin 2 minutes before and extend 2 minutes after significant economic releases. In some cases, these windows may last longer for particularly impactful events. This policy strikes a balance – allowing traders to ride out pre-existing positions while shielding firms from the heightened volatility that news events often bring.

Legacy vs. Modern Prop Firm Policies

The prop trading landscape has seen a major transformation in recent years, particularly in how firms handle news trading. Older, more traditional firms imposed strict bans and lengthy blackout periods. However, by 2025, a new wave of modern prop firms has taken a much more flexible and trader-friendly stance.

These forward-thinking firms, including names like FundingTicks, My Funded Futures, Apex Trader Funding, and Bulenox in the futures market, as well as FundingPips, FundedNext, Maven Trading, and E8 Markets in forex, have done away with restrictive news trading policies. They recognize that skilled news traders can navigate volatility effectively and generate consistent profits, leading to a complete overhaul of the industry’s traditional approach.

What Gets You Banned: Rules for Compliance

While these eight prop firms permit news trading, they enforce strict rules to ensure fair play. Step outside these boundaries, and your account could be terminated immediately.

Prohibited Practices for News Trading

Certain tactics are strictly off-limits. For instance, using news-passing services or engaging in latency arbitrage will lead to an instant ban. These methods exploit technological loopholes rather than showcasing genuine trading skill, which is why prop firms classify them as unethical.

News-passing services are third-party tools that claim to deliver economic data slightly ahead of official releases. Prop firms actively monitor for traders who exhibit unrealistically fast reaction times. If your trades are consistently executed within 50-100 milliseconds of a news release with impeccable timing, their automated systems will flag your account.

Latency arbitrage involves taking advantage of discrepancies in pricing during volatile moments. For example, some traders use a slower price feed from one broker to trade against another broker’s faster execution. Prop firms use advanced systems to detect and shut down these strategies quickly.

Account sharing is another major violation. Some traders try to manage multiple accounts to hedge positions or bypass position size limits during key events like Federal Reserve announcements or Non-Farm Payroll reports. Prop firms track IP addresses, trading patterns, and execution timing to uncover such coordinated efforts.

Exploiting platform errors during volatile news events is also prohibited. This includes taking advantage of price feed glitches, execution delays, or platform freezes during extreme market conditions. While these technical issues can be frustrating, attempting to profit from them is viewed as exploitation rather than legitimate trading.

To avoid these violations, it’s essential to follow a compliance checklist.

Compliance Checklist for Traders

Here’s how to stay on the right side of the rules:

• Focus on legitimate execution speed rather than gaming the system. Use a high-quality VPS service to reduce latency. Most successful news traders execute trades within 1-3 seconds of a release, not milliseconds.
• Document your trading strategy to prepare for any risk management reviews. Maintain records of your analysis methods, typical reaction times, and the economic indicators you monitor. This can be invaluable if your account is flagged for unusual activity.
• Avoid suspicious trading patterns that might trigger automated alerts. For example, don’t place identical trade sizes across multiple events, achieve perfect win rates during major releases, or consistently react faster than humanly possible. A natural trading record includes occasional losses, varied position sizes, and realistic response times.
• Stick to your own analysis and execution rather than relying on external signals or automated systems tied to prohibited services. While many prop firms allow the use of Expert Advisors and algorithms, these tools must be your own work and not connected to third-party systems or other traders.
• Regularly monitor your account metrics to ensure you’re not unintentionally raising red flags. Pay attention to average execution speeds, win rates during high-impact events, and any patterns that might appear unusual to risk management systems. Most prop firms provide detailed trading stats, so use them to spot potential issues early.

8 Prop Firms That Allow News Trading in 2025

The trading landscape has evolved, and a new wave of proprietary firms now supports news trading. These eight firms stand out by allowing traders to execute during high-impact events without restrictions like blackout windows or mandatory hold times.

Verified List of News-Friendly Prop Firms (2025)

These firms have embraced a modern approach, giving traders full control even during volatile news events. They allow active trading during major announcements such as Non-Farm Payroll (NFP), Consumer Price Index (CPI), Federal Open Market Committee (FOMC) updates, and Federal Reserve speeches. Whether you need to enter, exit, scale, or reduce positions, these firms have you covered.

Some highlights include FundingTicks, which completely removes news restrictions, and My Funded Futures (MFFU), which ensures news traders enjoy the same opportunities as swing traders. Apex Trader Funding offers flexibility, while Bulenox pairs adaptable rules with aggressive promotions.

On the Forex and CFD side, FundingPips caters to Expert Advisor (EA) users who rely on news-based algorithms, and FundedNext maintains trader-friendly policies for most major events. Maven Trading represents the shift toward flexibility, and E8 Markets combines permissive news trading rules with opportunities for capital scaling.

Complete Comparison Table

Here’s a quick breakdown of the key features across these firms:

These firms provide unrestricted trading during high-impact events, a significant departure from traditional firms that impose blackout windows ranging from 30 seconds to 2 minutes around major announcements. They understand that successful news trading relies on skill, market insight, and effective risk management – not sheer luck or exploitation.

Another standout feature is their automation compatibility. Many news traders use algorithmic strategies to process economic data and execute trades faster than manual methods. These firms support tools like Expert Advisors, custom indicators, and automated trading systems, as long as they comply with anti-exploitation rules.

Copy trading permissions further distinguish these firms. While traditional prop firms often restrict signal copying or social trading, these companies recognize that traders use diverse information sources and execution methods. As long as you avoid prohibited practices like news-passing services or account coordination, copying legitimate signals is allowed.

Futures vs. Forex: News Impact Windows

Modern prop firms offer traders incredible flexibility, but to make the most of it, you need to understand how news events affect different markets. Futures and forex markets react to news in distinct ways, and these differences can shape your trading strategy and execution. Timing, volatility, and market behavior all play a role in how these asset classes respond to major economic events.

Timing Differences Between Futures and Forex Markets

Futures markets operate on centralized exchanges with set trading hours, which means they tend to react quickly and sharply to major news releases like Non-Farm Payroll (NFP) or Consumer Price Index (CPI) reports. These events often lead to rapid price spikes, creating opportunities for scalping but also increasing the risk of slippage as prices settle almost as fast as they move.

Forex markets, on the other hand, trade around the clock across multiple global sessions. This 24/7 structure means reactions to major news events are more staggered. As different trading centers process the same data, price adjustments unfold more gradually, giving traders a longer window to respond.

Latency also plays a role in how these markets handle news. Futures trading requires ultra-low latency execution – QuantVPS Chicago, for instance, offers speeds under 1 millisecond – because of the rapid price movements. Forex, being decentralized, is slightly more forgiving of higher latency, but it still benefits from quick execution during volatile periods.

How Different Events Affect Futures and Forex

Key economic events like NFP, Federal Open Market Committee (FOMC) meetings, or CPI releases often cause immediate and dramatic price movements in futures. These events also lead to widened spreads and increased volatility, making them a high-stakes environment for traders. In forex, the reaction to the same events tends to be more measured, with price adjustments stretching over a longer period.

While all the featured prop firms allow trading during high-impact news events, some impose specific guidelines or exceptions for the most volatile releases. For example, platforms like FundingPips and Maven Trading support automated Expert Advisor (EA) trading, which can analyze economic data and execute trades quickly. This automation can be a game-changer during fast-moving markets, helping traders navigate the chaos of major news events with greater efficiency.

Get Ultra-Low Latency VPS for News Trading

When it comes to trading news events with prop firms, speed is everything. In fact, the difference between a winning trade and a losing one often boils down to how quickly your orders execute during high-impact moments like NFP or CPI announcements.

"High-Frequency Trading (HFT) is a sophisticated trading approach that leverages advanced computer systems and algorithms to execute a massive number of trades in fractions of a second. The primary aim is to profit from tiny price differences that exist only for a moment, often lasting just milliseconds. By acting faster than traditional traders, HFT participants can capitalize on these fleeting opportunities, accumulating significant profits through high turnover and rapid-fire transactions."

• goatfundedtrader.com

This focus on speed highlights why personal devices often fall short. Home internet connections and laptops simply can’t keep up with the demands of volatile markets. Even a slippage of 1–3 ticks can ruin an entire evaluation attempt, especially during fast-moving events like NFP releases, where prices can shift by dozens of points in mere seconds.

That’s where QuantVPS steps in with ultra-low latency VPS solutions tailored for news trading. For futures traders working with the eight prop firms mentioned earlier, QuantVPS Chicago delivers sub-1ms latency to the Chicago Mercantile Exchange (CME), ensuring lightning-fast order execution. Similarly, forex traders gain an edge with QuantVPS New York, offering sub-1ms execution to NY4 forex liquidity providers. This speed becomes a game-changer during FOMC announcements or CPI releases, where spreads widen, and liquidity scatters across multiple venues.

Retail traders often struggle with delays caused by home WiFi and system bottlenecks. QuantVPS eliminates these issues by providing dedicated, high-performance resources – including powerful CPUs, NVMe storage, and 1Gbps+ connectivity – to meet professional trading standards.

QuantVPS plans are competitively priced to suit various trading needs. The VPS Lite plan starts at just $59.99/month, making it perfect for traders running 1–2 charts. For those managing multiple positions across different prop firm accounts, the VPS Pro plan at $99.99/month supports up to 5 charts, offers multi-monitor functionality, and includes 16GB of RAM for smooth platform performance.

Beyond speed, QuantVPS also delivers reliability. Features like DDoS protection and a 100% uptime guarantee ensure your trading platforms stay online during critical news events, even as market volatility spikes and network traffic surges. This level of technical dependability is crucial for traders looking to navigate high-pressure moments with confidence.

Don’t let execution delays sabotage your prop evaluation. QuantVPS gives you the infrastructure advantage needed to stay ahead in the fast-paced world of news trading.

FAQs

What are the key benefits of trading news with modern prop firms compared to traditional ones?

Trading news with modern prop firms comes with several standout benefits compared to traditional firms. Older firms like Topstep, TPT, and the 5ers often imposed strict restrictions – or outright bans – on news trading. In contrast, modern firms such as FundingTicks, My Funded Futures (MFFU), Apex Trader Funding, Bulenox, FundingPips, FundedNext, Maven Trading, and E8 Markets allow traders to fully engage in high-impact economic events like NFP, CPI, and FOMC without violating evaluation rules.

This change gives traders the freedom to open, close, or adjust their positions during volatile market periods, making it possible to capitalize on rapid price swings triggered by news releases. These firms adopt a more trader-focused approach, eliminating outdated restrictions and catering to the demands of fast-moving, modern trading strategies.

How can traders follow prop firm rules while trading during news events?

To successfully navigate prop firm rules during news events, it’s essential to understand the specific policies of the firm you’re trading with. News trading allowed means you can open, close, or adjust trades during major economic events like NFP, CPI, or FOMC without violating evaluation rules. On the other hand, news holding allowed only lets you keep existing positions open during such events.

It’s also important to steer clear of news passing services, as these are strictly prohibited and could lead to account bans. Below is a verified list of prop firms for 2025 that allow news trading:

Pro tip: Latency plays a crucial role in news trading success. Even a small delay of 1–3 ticks during fast-moving events like NFP can derail your evaluation. To minimize latency, consider using a low-latency VPS. For futures, QuantVPS Chicago offers <1ms to CME, while QuantVPS New York provides <1ms to NY4 FX routing for forex. Avoid using Wi-Fi or local hardware for critical trades – every millisecond counts!

How can traders reduce the risk of slippage during high-impact news events?

To reduce slippage during high-impact news events, using an ultra-low latency VPS (Virtual Private Server) is a smart move. This setup ensures faster order execution, which is crucial when every millisecond counts. If you’re into futures trading, a VPS based in Chicago is a great choice because it’s close to CME servers. For forex traders, a New York-based VPS offers the best FX routing performance.

Cutting down on latency helps you execute trades more quickly and efficiently, minimizing the delays that can lead to costly slippage. Steer clear of relying on standard home internet connections – they often introduce lag at the worst possible times.

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