Robinhood is a handy app where you can buy and trade stocks without commission. The platform allows you to trade not only during regular hours but also after hours. This lets you access tremendous benefits, such as heightened market activity and better prices. Unfortunately, this opportunity is not available from the get-go, so you will need to enable it.
What are buying and selling after hours
Literally, trading after hours is not a complicated process, however, it is available only for Gold members, so, at first, you will need to upgrade your membership. The Gold membership costs only $5 per month and to activate it you should do the following steps:
- Click on the “Account” symbol in the lower-right part of your screen.
- Press the three bars in the upper part of your display and select “Settings“.
- Tap on the “Robinhood Gold” button.
To be honest, the process through the website is easier:
- Hit “Account” in the upper-right part of your screen.
- Press “Robinhood Gold“
How to buy and sell stocks after hours
After you have enabled Robinhood Gold, you may start buying and selling stocks after hours. To do that, you should do some following steps below:
- Go to any stocks’ detail page. In the lower part of the screen, click on the “Trade” option.
- After that, press “Buy” or “Sell” depending on what you want to do. The “Buy” option will show up automatically, if you haven’t purchased the stock already.
- Then, you should type in the amount of money you wish to purchase or sell in dollars.
- In case if you want to order or sell shares, tap on the menu in the upper-right section. Tap on “Dollars” and pick “Buy in Shares“.
- Review the order and if the information is correct, verify it. If you want to edit the order, you should press the “Edit” option in the upper-left part of the screen.
- In the end, swipe up to submit your order.
Why trade stocks after hours
There are several reasons why trading on Robinhood after hours can be a favorable investment. During earnings announcements, you may see one of the greatest benefits. The enterprise shares you own may announce their quarterly earnings following the market closure. In consequence, the prices can move more sophistically than during regular-hour sessions, allowing you to experience many potential opportunities.
Foreign market activity is another good thing about after-hours trading. European or Asian markets can impact prices in the US market. The activity outside the US takes place after regular trading hours, and extended sessions enable you to capitalize on a large number of stocks.
When are Robinhood’s premarket and After-Hours trading sessions
During regular trading sessions, Robinhood markets launch at 9:30 AM Eastern Time. Premarket is launched 30 minutes before regular trading hours and is opened at 9:00 AM Eastern Time. The period time between 4:00 and 6:00 PM Eastern Time is referred to as the after-hours trading session. If you combine this period with premarket, you will get an additional two and a half hours of trading every day.
Does Selling after-hours count as day trading on Robinhood
If the stock was bought during regular trading hours and sell it in the extended session the same day, the transaction will still be counted as day trading when it comes to day trading rules. If it is important for you to avoid day trading, you may sell your stock the next day.
