The5ers News Trading Rules: Holding Is Not the Same as Executing
The5ers News Trading Rules: Holding Is Not the Same as Executing. A practical, checked breakdown of the rules, costs, and what to verify before you commit.
Checked on: 2026-07-24 | Rules and pricing can change. Always verify at the official The5ers site before purchasing.
Affiliate Disclosure: HNL Growth may earn a commission if you register through our links, at no additional cost to you. Risk Warning: Trading leveraged products and paid evaluations involves substantial risk. Evaluation fees may be lost, and qualification, payouts, or profits are not guaranteed. Simulated Environment Disclosure: The5ers states that trading activity in its Hub is conducted in a simulated environment; reaching a funded stage is subject to current program rules and is not guaranteed.
Navigating high-impact economic releases—such as Non-Farm Payrolls (NFP), Consumer Price Index (CPI) reports, and central bank interest rate decisions—requires absolute clarity on your proprietary firm's execution framework. For traders using The5ers , understanding the critical difference between holding an open position through a news event and executing a new trade during a volatile news window is essential to maintaining account compliance and protecting evaluation progress.
While some proprietary firms enforce blanket bans on news trading, The5ers approaches news event volatility with program-specific rules. Depending on whether you trade the High Stakes, Bootcamp, Hyper Growth, or Futures funding routes, trading restrictions can vary significantly. In this guide, we break down every nuance of The5ers news trading guidelines, compare holding versus executing rules, analyze spread widening mechanics, and provide practical decision frameworks for macroeconomic event traders. If you are preparing to register for an evaluation account, you can reference the official portal using The5ers referral code 4YBG6L9.
Before diving into specific event windows, traders should always The5ers Rules to align their trade plan with the platform's overarching risk limits and account conditions.
1. Defining Core Mechanics: Holding vs Executing Positions
The5%ers — Code 4YBG6L9 for a discount
Bootcamp, High Stakes, Hyper Growth, Pro Growth & Instant Funding · Profit split up to 100% · Scale to $4M
To operate safely on prop firm accounts, traders must distinguish between two fundamental concepts in event-based trading: Holding and Executing.
What Is "Holding" During News?
Holding refers to maintaining an existing position that was opened prior to the restricted news window. For example, if you enter a long EUR/USD position at 08:00 AM EST, and an economic release occurs at 08:30 AM EST, keeping that position open across the release constitutes "holding through news."
When holding through high-impact events, your stop loss, take profit, or open unrealized equity will fluctuate as market prices react. Prop firms that allow news holding generally do not disqualify an account simply because an open trade exists during the event—provided the trade was opened well outside the prohibited execution buffer.
What Is "Executing" During News?
Executing refers to active transaction management within the restricted window surrounding a news release. Execution actions include:
- Opening a new market buy or sell order.
- Triggering a pending order (Buy Stop, Sell Stop, Buy Limit, Sell Limit) set prior to the event.
- Closing an open position manually during the restricted window.
- Modifying orders, including shifting stop loss or take profit targets right as the news spikes.
Proprietary trading firms restrict news execution primary to mitigate execution anomalies in simulated environments, such as massive negative slippage, spread expansion, and toxic flow that does not replicate real-world liquidity conditions.
2. The5ers Program-by-Program News Trading Rules
The5ers offers several distinct evaluation and instant funding pathways. Because risk profiles differ across programs, news trading rules are tailored to each specific track. Below is a breakdown based on the current official The5ers news trading documentation.
High Stakes Evaluation Program
The High Stakes program is a two-step evaluation designed for active swing and day traders. During the evaluation phases (Step 1 and Step 2), news trading is generally allowed, allowing candidates flexibility to demonstrate their strategy under volatile market conditions. However, once a trader transitions to the Funded High Stakes stage, strict news execution windows may apply to protect allocated capital. Traders must verify whether a 2-minute or 5-minute buffer before and after high-impact events applies to their live simulated account.
Bootcamp Program
The Bootcamp program is a low-cost, three-stage challenge route built for patient risk managers. Across the initial testing stages, news holding is permitted, but executing new market orders directly during red-folder announcements is discouraged or strictly regulated depending on the underlying asset. Once funded, trade execution during news windows must comply with strict window restrictions to prevent passing simulated fills that would fail in live interbank execution.
Hyper Growth Program
The Hyper Growth track offers direct scaling structure. Because Hyper Growth provides rapid scaling, risk guidelines are structured to maintain consistent performance. In Hyper Growth accounts, news holding is broadly supported for swing traders, provided positions are entered outside of sudden volatility surges. Executing pending spikes right at release times, however, can result in trade invalidation or rule warnings.
Futures Day Trade and Swing Programs
The5ers Futures accounts feature End-of-Day (EOD) loss limits and consistency metrics. In futures contracts (e.g., NQ, ES, CL), news releases create massive order book clearing. Futures Day Trade accounts require flat positions before specific daily cutoffs and restrict new orders during major economic prints. Futures Swing accounts offer broader flexibility for holding across news, but traders remain subject to standard daily margin requirements and daily loss threshold rules.
For a detailed structural review of overall evaluation parameters, scaling plans, and fee schedules across these accounts, check out our comprehensive The5ers Review.
Comparative Summary Table of News Rules
| Program Track | Evaluation Phase (Holding) | Evaluation Phase (Executing) | Funded Account (Holding) | Funded Account (Executing) |
|---|---|---|---|---|
| High Stakes | Allowed | Allowed | Allowed | Restricted Window (2 min / 5 min) |
| Bootcamp | Allowed | Allowed (Subject to slip) | Allowed | Restricted on Red Folders |
| Hyper Growth | Allowed | Allowed (Monitoring applies) | Allowed | Restricted around High Impact |
| Futures (Day Trade) | Restricted overnight | Restricted near major data | Flat requirement | Prohibited during buffer |
| Futures (Swing) | Allowed | Allowed with caution | Allowed | Subject to exchange rules |
3. Identifying High-Impact Events & Buffer Windows
Not every economic release constitutes a "high-impact" news event. Prop firms evaluate potential restrictions based on standardized macroeconomic event calendars, such as Forex Factory, FXStreet, or economic terminal feeds.
What Qualifies as a Red-Folder Release?
A red-folder event is an economic announcement rated with high potential market impact. Key releases include:
- United States: Non-Farm Employment Change (NFP), Consumer Price Index (CPI), Federal Open Market Committee (FOMC) Rate Decisions & Press Conferences, Gross Domestic Product (GDP), Retail Sales.
- Eurozone / United Kingdom: ECB Interest Rate Announcements, BOE Rate Decisions, UK CPI, German Flash Manufacturing PMI.
- Australia / New Zealand / Canada: RBA Cash Rate, RBNZ Rate Decisions, Unemployment Rate reports, Employment Change.
- Japan: BOJ Policy Rate Announcements, Monetary Policy Statements.
Understanding the Execution Buffer Zone
Where news execution restrictions apply, the standard buffer window is typically defined as 2 minutes before to 2 minutes after (or in some cases 5 minutes before to 5 minutes after) the scheduled economic release time.
Buffer Zone Example (US CPI at 08:30:00 AM EST):
- Restricted Window (2-Minute Rule): 08:28:00 AM EST to 08:32:00 AM EST.
- Prohibited Actions: Opening a market order, triggering a pending order, or closing a trade between 08:28:00 and 08:32:00 AM.
- Permitted Action: Entering a position at 08:15:00 AM EST and holding it uninterrupted through 08:35:00 AM EST (provided news holding is allowed on your specific program).
4. Volatility, Spread Expansion, and Simulated Execution Risk
Even when a trade is fully compliant with program rules, execution mechanics during news announcements introduce severe operational risk. Understanding how order execution functions in simulated environments is vital to long-term risk management.
Spread Widening Mechanics
During high-tier macroeconomic events, institutional liquidity providers pull orders from the market depth to limit exposure. As top-of-book depth disappears, bid-ask spreads expand rapidly. On major currency pairs like EUR/USD or GBP/USD, normal spreads of 0.1–0.5 pips can surge to 5.0–15.0 pips or higher in milliseconds.
Negative Slippage vs Simulated Fills
The5ers conducts trading activity within a simulated hub environment. To ensure traders demonstrate authentic risk control, execution servers simulate real-market slippage. If your Stop Loss is placed at 1.0850, and the first available price tick during NFP gap opens at 1.0835, your position will exit at 1.0835—resulting in 15 pips of negative slippage.
Traders who place tight Stop Loss orders (e.g., 5 pips) right before news often suffer disproportionate drawdown hits because the gap fill bypasses their intended stop level. If slippage causes an account to breach its maximum daily loss limit, the breach remains valid regardless of whether news execution was permitted.
5. Worked Scenarios & Math Calculations for News Volatility
To illustrate how news execution and holding interact with account limits, let us review four realistic scenario calculations.
Scenario A: Pending Order Triggered During CPI Surge
Setup: A trader on a $100,000 High Stakes Funded Account sets a Buy Stop on GBP/USD at 1.2700 at 08:25 AM EST. US CPI is released at 08:30 AM EST.
- Event Release: At 08:30:00 AM, price spikes upward. The 2-minute restricted execution window is active from 08:28 AM to 08:32 AM.
- Result: The Buy Stop triggers at 08:30:02 AM. Because execution occurred inside the restricted 2-minute buffer, the trade violates execution rules. The profit may be invalidated, or the account may receive an administrative flag depending on system rules.
Scenario B: Existing Swing Trade Held Through FOMC
Setup: A trader on a $100,000 Hyper Growth Account enters a swing short on EUR/USD at 1.0900 on Tuesday at 02:00 PM EST. FOMC rate announcement occurs Wednesday at 02:00 PM EST.
- Trade Status: Position opened 24 hours prior to news. No order modifications occur between 01:58 PM and 02:02 PM on Wednesday.
- Result: Fully compliant. Holding open trades through rate decisions is allowed for swing accounts, provided entry was outside the execution window.
Scenario C: Stop Loss Gap Math Calculation
Consider a $100k account with a maximum daily drawdown threshold of $3,000 (3%). The trader enters 5 lots of EUR/USD before news with a 10-pip stop loss ($500 risk).
Calculation:
Normal Risk = 5 lots × 10 pips × $10/pip = $500 (0.5% equity risk)
Actual Slippage Gap during release = 45 pips slip beyond Stop Loss level
Actual Realized Loss = 5 lots × 55 pips total move × $10/pip = $2,750
Impact: A trade intended to risk 0.5% suffers a 2.75% drawdown due to execution gap. While not a rule break for execution, it consumes 91.6% of the daily loss allowance in a single tick.
6. Overlapping Rules: Weekend Holding & KYC Verification
News event trading rarely exists in isolation. It frequently intersects with weekend market gaps and identity verification stages.
Weekend Holding Intersections
High-impact political or geopolitical news often breaks over weekends when spot FX markets are closed. If you hold open swing trades into Friday close, Sunday opening gaps can trigger massive price jumps before you can adjust stops. To review how weekend position holding rules apply across each plan, read our full breakdown to The5ers Weekend Holding restrictions.
Payout Compliance and Identity Verification
Passing an evaluation phase or scaling a funded account while navigating news rules is only half the process. Prior to requesting profit payouts earned from news volatility or standard strategies, traders must complete identity verification. Make sure to The5ers KYC requirements to ensure your account details, address proof, and payout channels are verified without administrative delay.
7. Who News Trading Fits (and Who Should Avoid It)
Who News Trading Fits
- Macro Swing Traders: Traders holding position trades entered hours or days prior, using wider stop loss levels capable of absorbing short-term spread spikes.
- Post-News Momentum Traders: Operators who wait 5 to 15 minutes after high-impact announcements to trade established directional momentum after spreads normalize.
- Disciplined Risk Managers: Traders who reduce position sizing by 50%–70% ahead of expected economic volatility.
Who Should Avoid News Trading
- Ultra-Short Scalpers: Traders relying on 2-pip to 5-pip targets who get destroyed by spread widening and slippage.
- Straddle Strategy Users: Traders placing dual buy-stop and sell-stop pending orders seconds before CPI or NFP to capture sudden breakout moves.
- High-Leverage Gamblers: Anyone attempting to pass evaluation profit targets in a single news event by taking max-lot exposure.
8. Pre-News Execution Checklist for The5ers Traders
Before leaving an open trade or preparing an entry near major economic data releases, run through this pre-flight checklist:
- Verify Calendar Color Rating: Check Forex Factory or FXStreet to confirm if the event is classified as High Impact (Red Folder).
- Check Your Active Account Phase: Are you in an Evaluation step or a Funded stage? Remember that funded accounts enforce stricter execution windows.
- Confirm Event Timezone: Match your local trading platform server time (EET/EST) with the scheduled announcement time.
- Check Pending Order Status: Cancel any open Buy Stop or Sell Stop orders that could trigger during the prohibited window.
- Evaluate Position Sizing & Margin: Calculate maximum potential slippage gap to ensure a price jump will not trigger a Daily Loss violation.
- Review Weekend Risk: If the news event occurs late Friday afternoon, determine if your account path requires flat positions before market close.
9. Evidence Limitations & Verification Note
Operational Note: Proprietary firm news trading policies, program leverage, prohibited buffer times, and account scaling terms are subject to change by management. The facts in this guide were verified as of July 22, 2026. Traders should cross-reference specific execution parameters on The5ers Help Center before executing high-volatility strategies.
10. Frequently Asked Questions
Can I execute pending orders right as NFP or CPI is released on The5ers?
On funded accounts and specific evaluation tracks with news buffer rules, executing pending orders during the restricted window (e.g., 2 minutes before to 2 minutes after) is prohibited. Orders triggered during this timeframe may lead to trade cancellation or account breach depending on program terms.
What happens if slippage causes my Stop Loss to breach the Daily Drawdown limit during news?
Drawdown limits are monitored strictly based on actual equity and balance values. If negative slippage forces your trade fill beyond your daily loss limit, the account breach is absolute. Prop firm simulated environments enforce real-market execution physics, meaning traders bear full responsibility for managing gap risk.
Does closing a trade manually during high-impact news count as execution?
Yes. Closing an active trade constitutes an order execution transaction. If your funded account enforces a restricted news execution buffer, manually closing a trade within that window is treated as an execution violation. Plan your exits prior to the start of the buffer zone.
Where can I enter my referral code when signing up for The5ers?
When creating your account on the client portal, you can input The5ers referral code 4YBG6L9 in the designated referral field during checkout.
Are news trading rules identical across Forex and Futures programs?
No. Futures trading involves exchange-traded central limit order books (CLOB) with distinct market halt rules and End-of-Day (EOD) loss limit metrics, whereas Forex programs operate on simulated spot liquidity. Always check the specific futures contract rules in your account dashboard.
11. Summary & Next Steps
Trading around high-impact macroeconomic events offers substantial opportunity, but demands strict adherence to your prop firm's structural framework. At The5ers, holding swing trades through high-tier news is broadly accommodated across most programs, while executing active orders within restricted event windows is strictly governed on funded accounts.
By understanding spread mechanics, respecting buffer windows, and sizing positions conservatively to absorb slippage, you can protect your account equity while capitalizing on market momentum.
Verify The5ers News-Trading Limits →
Risk Disclaimer
Prop trading evaluations involve risk of capital loss. Evaluation fees are non-refundable if you breach the account rules. Funded accounts operate in simulated trading environments — payouts depend on each firm's policies and are not guaranteed. Past performance in an evaluation does not guarantee consistent returns on a funded account. Always read the full terms and conditions of any program before purchasing. This article is for educational and informational purposes only and does not constitute financial advice.
Checked on: 2026-07-24. Rules and pricing can change. Always verify at the official The5ers site before purchasing.
Related The5ers Guides
Ready to Check The5%ers Programs?
The5%ers has funded traders since 2016 across 5 distinct programs — from low-cost Bootcamp to Instant Funding — with profit splits up to 100% and a scaling path to $4M. Use code 4YBG6L9 at checkout for a discount.
Risk disclaimer: Challenge fees are non-refundable if you breach the rules. Prop trading involves significant financial risk. Past performance in a simulated environment does not guarantee results on a funded account. Only purchase if you understand the rules fully and can afford to lose the fee. Affiliate disclosure: HNL Growth earns a commission when you purchase a The5%ers program through links on this page.