Quick Definition

After-hours trading refers to the buying and selling of securities outside the standard trading hours of major stock exchanges.

Examples

• 1An investor buys shares of a tech company at 6 PM EST, after the company announced a new product launch after the market closed.
• 2A trader sells shares of an energy company at 7:30 PM EST following a negative news report that emerged post-market close.
• 3Investors react to earnings reports released after 4 PM by trading stocks in the after-hours market to capitalize on the immediate price changes.

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