Lucid Trading News Trading Rules Explained Clearly
Yes, Lucid Trading permits news trading without restriction. Traders can open or close positions around announcements, hold through events, and will not face disqualification just for trading during volatile moments. The freedom comes with responsibility, and Lucid makes it clear that risk management is on the trader.
News trading is allowed on all Lucid accounts
You can open or close trades before or after announcements
You can hold existing positions through news releases
There are no penalties for trading during news events
Risks include slippage, volatility spikes, and faster drawdown breaches
What Is News Trading?
News trading means taking trades directly around scheduled economic announcements that move markets. Futures traders often look to these events for momentum opportunities, but they can also bring unpredictable swings.
Common examples of news events include:
CPI inflation reports
Non-Farm Payrolls
Federal Reserve interest rate decisions
Unemployment data
FOMC meeting minutes
Why Lucid’s Policy Is Different
Lucid’s approach is a standout in the prop firm industry. Many competitors ban or heavily restrict news trading, but Lucid gives traders full flexibility.
Most firms restrict news trading, Lucid does not
You can build strategies around volatility without fear of penalties
The rules mirror real market conditions, preparing traders for live accounts
Momentum-focused traders gain an edge by accessing big moves others cannot touch
Rules That Still Apply During News
Even with full freedom to trade news, Lucid’s standard risk rules remain in effect. Violating them can still cost your account.
EOD Trailing Drawdown: cannot exceed the maximum end-of-day trailing loss
Daily Loss Limit: each account has a strict daily max loss cap
Consistency Requirements: some accounts require balanced profits across days
Trading Hours: positions must be closed before the daily cutoff, no overnight holds
Why This Matters for Futures Traders
Lucid’s policy is a big deal for traders at every stage. It opens the door to trade events that often spark the most significant market moves.
Practice in real-world conditions with live volatility
Build stronger discipline under pressure
Access opportunities other prop firms restrict
For newer traders, it is also a reminder that freedom cuts both ways. News events can help you grow faster, but they can also punish poor risk control.
Should You Trade News with Lucid?
Whether you should trade during news depends on your trading style. Lucid provides the freedom, but the decision is yours.
Momentum traders benefit most from volatility bursts
Risk-averse traders can ignore news events and still comply with rules
Developing traders should trade small size to gain experience safely
Best Practices for News Trading with Lucid
If you do trade during high-impact events, keeping risk in check is essential.
Track news schedules like CPI, NFP, and FOMC in advance
Scale down contract size during volatile moments
Assume slippage will occur on orders
Protect your trailing drawdown by limiting risk per trade
Journal setups and outcomes to refine your approach
Final Thoughts
Lucid Trading stands out by allowing unrestricted news trading. While most prop firms keep traders on the sidelines during announcements, Lucid trusts you to manage the risks yourself. That flexibility makes Lucid an attractive option for traders who thrive on volatility.
If you want to learn more, check out:
Curious how Lucid compares with other firms? Explore our prop firm comparison tool for side-by-side breakdowns.
Always use code SOPF when signing up for Lucid Trading accounts to secure the best deal.
Disclaimer: Prop firm rules and requirements change frequently. While this article reflects the most accurate information available at the time of writing, some details may become outdated. If you notice an error or need clarification, please contact us directly at https://saveonpropfirms.com/contact.
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