How to Trade Through News Events Without Violating Prop Firm Rules
News events are where prop accounts blow — or where real edge gets captured. Here's how to configure your copier and risk rules to trade them correctly without a compliance problem.
How to Trade Through News Events Without Violating Prop Firm Rules
News events are simultaneously the highest-opportunity and highest-risk sessions in futures trading. For prop firm traders, they add a third dimension: compliance risk. Every firm has a different policy, and trading during a prohibited window — even profitably — can result in a warning, disqualification, or account restriction.
Getting this right requires knowing your specific firm's rules before the session, not during it.
Firm-by-Firm News Event Policies (2026)
| Firm | News Trading Policy | Key Restriction |
|---|---|---|
| Apex Trader Funding | Permitted — no blackout windows | No multi-directional hedging across accounts |
| Topstep | Permitted during news | No hedging in opposite directions simultaneously |
| Tradeify SELECT | Tier 1 news permitted | Anti-hedging rule strictly enforced (10-second tolerance) |
| MyFundedFutures (Core/Scale) | Permitted | Standard daily loss and drawdown limits apply |
| Take Profit Trader | Blackout windows enforced | No trading 2-5 minutes around major releases |
| BluSky Trading | Permitted | EOD daily loss limit applies |
Always verify current policies directly with your firm before major events — these can be updated, and what was permitted in Q1 may have changed by Q3.
Configuring Your Copier for News Sessions
For Firms With Blackout Windows (TPT)
In Copilink, you can configure session time restrictions that disable order copying during specific time windows. Set the blackout start 2-3 minutes before the event and the blackout end 3-5 minutes after — matching your firm's specific window. During this period, leader orders execute on the leader account only; no follower replication occurs.
This prevents the scenario where you manually place a trade just before a release (within the leader's permitted window) but the copier propagates it to follower accounts after the blackout has started.
For Firms That Permit News Trading
No session restriction needed in the copier. But adjust these parameters for news sessions specifically:
- Reduce contract ratios across followers — news fills have higher slippage variance; smaller size means slippage differences between accounts are less likely to push any account into daily loss limit territory
- Widen daily loss buffer — temporarily reduce your Copilink per-account daily threshold to 75% of the official limit (vs. the standard 85%) to account for the higher intraday volatility
- Enable tighter auto-flatten — if you're on intraday trailing drawdown (Apex), news moves can compress your cushion fast. Consider setting the auto-flatten trigger at a lower percentage of the trailing drawdown ceiling during news sessions
The Anti-Hedging Risk During News
Fast news moves sometimes cause traders to flip direction quickly — long before the number, short after a miss. In a multi-account copier setup, this can create a brief window where one account has an older long position open while the leader has already reversed to short. Depending on your firm's hedging policy, even a brief overlap can be a violation.
The safest approach during directional flips on news:
- Close all positions on the leader first (verify followers all close)
- Wait for position confirmation across all accounts (2-3 seconds)
- Enter the new direction on the leader
This adds a few seconds of delay vs. a simultaneous reverse, but eliminates the hedging overlap risk during the most volatile period of the session.
Post-News Review
After any major news session, run a quick account audit before closing NinjaTrader:
- All follower accounts flat (no orphaned positions from a missed close)
- Daily P&L across all accounts within expected ranges
- No consistency rule violations on any account (news days can produce outsized daily profits)
- Drawdown cushion checked for all accounts — intraday trailing accounts may have a significantly different floor than they started the session with
The Copilink risk dashboard surfaces all of this at a glance — per-account status, daily P&L, drawdown position — without requiring you to check each account individually.
Related Articles
Ready to Start Trade Copying?
Try Copilink free for 7 days. No credit card required. Copy trades across unlimited prop firm accounts.