Glossary

Pre-market and after-hours: meaning, example and why it matters

Trading that happens outside a stock exchange's regular session. Volume is usually thinner, spreads wider and prices more jumpy than in regular hours.

Worked example

A stock quoted $100.00 bid and $100.50 ask in regular hours might show $99.50 and $101.00 after hours. The gap widens from 0.5% to about 1.5%.

Illustrative numbers for explanation only. They are not market data, a forecast or a suggestion.

Why it matters

Thinner trading means wider gaps and bigger jumps, so the same order can cost more outside regular hours.

Related terms

SpreadVolume

Frequently asked questions

Are after-hours prices the same as the closing price?

No. They are separate trades at different prices and the next regular-session open can differ again.

Is this page investment advice?

No. Pre-market and after-hours is explained in general terms with illustrative numbers. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser.

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Educational content, not investment advice. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser. Spotted a mistake? Email marketdekho01@gmail.com.