Lower liquidity
Generally, the more orders that are available in market, the greater the liquidity. Fewer people trade outside regular hours, so your orders may take longer to fill or may not fill at all. Learn more 👉 here.
Higher volatility
Volatility is the frequency and size of price changes in stocks. The higher the volatility of a security, the greater its price changes. There is usually greater volatility outside regular hours and you may receive a worse price compared to when trading during regular hours. Learn more 👉 here.
Wider spreads
Spread is the difference between a stock's buy and sell price. Lower liquidity and higher price volatility outside regular hours may lead to wider spreads. Spreads are usually lower in the regular hours.
Unlinked markets
Different brokers may use different 24/5 trading systems. Prices on one platform may be different from others. You could receive a worse price in one 24/5 system compared to another.
Changing prices
Stock prices in extended hours may not reflect the prices at the end of regular trading hours or the regular session opening the next day. This means you might not get the best price if you buy or sell outside the regular trading hours. Learn more 👉 here.