Article: After Hours Market

Investors may trade in the After Hours Market (3:00 - 5:30 p.m. Central Time) on the Nasdaq Stock Market. On a quote page, the Bid column will show the price a prospective buyer is prepared to pay at a particular time for trading a security. The Ask column will show the price at which someone who owns a security offers to sell a security. During regular market hours, the last sale is shown in the Last column. However, during the After Hours session, the last sale is displayed in the Form T column. The last sale is an electronic entry by a NASD Member firm representing the price involved in a transaction of a Nasdaq security. The trade report must be submitted to Nasdaq within 90 seconds after the execution of the trade.

Participation by Market Makers and ECNs in the After Hours Market is strictly voluntary and as a result may offer less liquidity and inferior prices. Tip: Investors who anticipate trading the After Hours Market are strongly advised to use limit orders because stock prices may move more quickly in this environment.

The following illustration shows After Hours trading, the last Form T trade, Bid price, and Ask price using Ensign Windows with the Data Transmission Network data feed.

Tip: To enable Ensign Windows to chart the After Hours data, change the @Nasdaq day session closing time to 17:30 on the SetUp | Symbol Properties form.