Can you trade news on a prop firm challenge? It depends entirely on which firm you pick — and the answer changes accounts. Some firms like FundedNext and Bulenox let you trade NFP, CPI and FOMC freely. Others like FTMO ban it outright. This is the complete 2026 guide to news trading rules across every major prop firm, what counts as a violation, and how to trade news without blowing your account.
The Quick Answer Table: News Trading Rules by Firm (2026)
| Firm | News Trading Policy | Key Restriction |
|---|---|---|
| FundedNext | Allowed | None — trade any event, any time |
| Bulenox | Allowed | Generally unrestricted on news |
| Tradeify | Allowed | Generally unrestricted on news |
| E8 Markets | Allowed | No ban, but slippage risk on high-impact events |
| Apex Trader Funding | Conditional | Normal trading allowed; no hedging or "news chasing" |
| Topstep | Conditional | Allowed, but avoid high-impact events |
| The5ers | Conditional | News trading allowed with event restrictions |
| FTMO | Restricted | No trading during high-impact news |
| MyForexFunds | Restricted | Restricted during major releases |
Important: prop firm rules change frequently — this table reflects the commonly documented policies in 2026. Always verify the current rules on the firm's official page before trading a high-impact event.
Why Prop Firms Restrict News Trading at All
It's not about stopping you from winning. It's about slippage and gap risk. When NFP drops, prices can move 50+ ticks in seconds. A trader with a 5% daily loss limit can breach it before they can even click cancel — and the firm is left deciding whether the loss was "fair market" or "rule exploitation." Firms that ban news trading simply remove that ambiguity.
The other reason: hedging strategies. Some traders buy both sides of an event (a straddle) to guarantee one winning side. Firms like Apex explicitly call this out as prohibited. It's not news trading per se — it's market abuse of the evaluation model, and it gets accounts terminated.
Firm-by-Firm Breakdown
FundedNext — News Trading Allowed
FundedNext is the most news-friendly major firm. Their official rules state news trading is allowed with no restrictions on when or how you trade, and hedging is permitted within a single account. This makes FundedNext the top pick for news traders who want zero friction around high-impact events. See our FundedNext challenge guide for the full rule set.
Bulenox & Tradeify — News Trading Allowed
Both futures firms allow news trading with minimal restrictions. Bulenox and Tradeify are popular with news traders precisely because they don't gate high-impact events — though both still expect you to manage slippage risk responsibly within your drawdown limits.
Apex Trader Funding — Conditional
Apex's official policy: "Trading during news is allowed for your normal trading strategy." What's banned is "news trading" as a strategy — chasing the market, placing orders on both sides, or deliberately exploiting event volatility. If you trade news as part of your normal approach with sensible risk, you're fine. If you straddle or hedge around events, your account is at risk. Read our Apex guide before trading their evals.
Topstep — Conditional
Topstep generally allows news trading but its trailing drawdown makes high-impact events genuinely dangerous — slippage on NFP can breach the trailing limit in one candle. Topstep's help center advises avoiding major releases. Our Topstep guide explains the trailing drawdown math in detail.
FTMO & MyForexFunds — Restricted
FTMO prohibits trading during high-impact news and requires positions closed before major releases. MFF applies similar restrictions. If you're a news trader, these are the wrong firms for you — you'll be locked out of the exact events you want to trade.
How to Trade News on a Prop Firm Account Safely
Even at firms that allow news trading, the drawdown rules don't care about your thesis. Here's how news traders survive:
- Size for the slippage, not the setup. If you normally risk 0.5%, use 0.25% around high-impact events. Slippage is a tax you pay on entry.
- Never straddle or hedge. At best it's against the rules; at worst it reads as market abuse to the risk team.
- Use limit orders, not market orders. On fast events, market orders fill at whatever price exists — often far from your stop.
- Close before the event if your firm requires it. FTMO and MFF don't leave this to judgment — the rule is the rule.
- Keep your best day under the consistency threshold. One massive news-day win can trip Topstep's 50% or Apex's 60% consistency rule and stall your payout.
Pro tip: the traders who consistently profit from news on prop accounts don't gamble on direction — they trade the reaction after the initial spike settles, with tight risk. That approach is allowed at every firm that permits news trading, and it keeps drawdown breaches near zero.
News Trading & Payouts: The Hidden Trap
Here's the part nobody tells you: even at firms that allow news trading, a single enormous news-day profit can block your payout. At Apex, if your best day exceeds 60% of your target, you must keep trading until consistency is satisfied. At Topstep it's 50%. At Bulenox there's a 40% single-day consistency ceiling for payouts. A lucky NFP call that banks 80% of your target in one day can turn into a 2-week wait — or a blown account if you chase the consistency fix.
If you want to trade news without these headaches, the firms to prioritize are the ones with no consistency rule and no news ban — see our guide to prop firms without a consistency rule.
Which Prop Firm Should a News Trader Pick?
| Your Style | Best Firm | Why |
|---|---|---|
| Forex news trader, wants zero restrictions | FundedNext | No news ban, no consistency rule on CFDs |
| Futures news trader | Bulenox / Tradeify | News allowed, futures focus |
| News trader who also wants a famous brand | Topstep (conditional) | Allowed, but respect slippage on the trailing drawdown |
| Avoids news entirely, wants safety | FTMO | Ban keeps everyone honest; no ambiguity |
Choosing the right firm matters more than the strategy — and so does passing the challenge in the first place. If you're done losing attempts to rules you didn't fully understand, a passing service with a 95% success rate for $220 flat (free test first) removes the rule-risk entirely.
Frequently Asked Questions
Q: Which prop firms allow news trading without restrictions?
A: FundedNext (forex and futures), Bulenox, Tradeify and E8 Markets are the most news-friendly major firms. Most instant-funding firms also allow news trading with few or no restrictions.
Q: Does FTMO allow news trading?
A: No. FTMO prohibits trading during high-impact news events and requires positions closed before major releases. This applies to challenges and funded accounts.
Q: Can you trade NFP on a prop firm account?
A: At FundedNext, Bulenox, Tradeify and Apex (with normal-strategy limits), yes. At FTMO and MFF, no. Always confirm the firm's current policy — and keep your position size small enough that slippage can't breach your daily loss.
Q: Is hedging around news allowed?
A: Almost never. Apex explicitly prohibits placing orders on both sides of an event, and most firms treat straddle-style hedging as a rule violation even when news trading itself is allowed.
Q: Can a passing service help me if I keep failing on news days?
A: Yes — 500+ challenges passed at 95% success across FTMO, FundedNext, Apex, Topstep and 50+ other firms. A free test lets you verify the results before paying a cent.
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