TPThe Trading Playbook

Updated 2026-03-08

City Traders Imperium News Trading Policy Rule Explained

City Traders Imperium
Quick Answer

City Traders Imperium allows news trading on all high-impact economic news events during both Challenge and Funded phases.

Unlike many prop firms that restrict trading around major economic announcements, City Traders Imperium permits traders to take positions before, during, and after high-impact news events. This policy applies to all account sizes and phases, with no time restrictions or position limits specific to news events. Traders must still comply with other risk management rules like the 5% maximum total loss limit.

Key Rule Details

Policy
Allowed
Detail
See official rules
Applies To
All high-impact news (NFP, FOMC, CPI)
Enforcement
Automated — breach triggers account review
Phases
Challenge and Funded

Calculation Example

Account Size: $100,000News Trading Policy: No restriction
Account Size$100,000
News Trading Policy LimitNo restriction
Scenario: Closed P&LNFP release at 8:30 AM ET
Scenario: Floating P&LTrading permitted
Total ExposureNo action required
Remaining BufferFull freedom
Limit used:0%

Common Mistakes

Over-leveraging During News
Traders assume news trading permission means unlimited risk taking. They open oversized positions expecting big moves, forgetting the 5% maximum loss rule still applies. A trader with a $10,000 account opening a 10-lot EUR/USD position during NFP could lose their entire $500 drawdown limit in seconds if the market moves against them by just 5 pips.
Ignoring Spread Widening
Many traders focus only on directional moves during news but ignore dramatically widened spreads. During high-impact events, spreads can expand from 1 pip to 20+ pips, meaning even correct directional calls can result in immediate losses. This spread cost isn't factored into their risk calculations, pushing them closer to the 5% loss limit faster than expected.
News-Only Trading Strategy
Traders develop strategies that only trade during news events, ignoring the 3-day minimum trading requirement. They might only trade NFP Fridays and FOMC announcements, leaving long gaps between trading sessions. This approach fails to meet City Traders Imperium's activity requirements and doesn't demonstrate consistent trading skills needed for funding.
Assuming No Restrictions Exist
Some traders interpret 'news trading allowed' as complete freedom from all rules during news events. They believe they can exceed normal position sizes or ignore risk management during volatile periods. However, all standard rules including maximum loss limits, profit targets, and trading day requirements remain fully enforced during news trading periods.

Protection Strategies

Set Personal News Trading Loss Limit
Establish a maximum loss per news event of 1-2% of account balance, well below the firm's 5% total limit. For a $25,000 account, risk only $250-500 per news event rather than the full $1,250 allowed. This creates a buffer for multiple news trades and unexpected market gaps or spread widening.
Reduce Position Size by 50% for News
Calculate your normal position size, then cut it in half for news trading due to increased volatility and spread costs. If you normally risk 1% per trade with standard position sizing, use 0.5% position sizes during high-impact events. This accounts for the unpredictable price action and execution challenges that occur during major announcements.
Set Mobile Alerts for Drawdown Levels
Configure alerts at 2.5% and 4% drawdown levels to monitor your distance from the 5% maximum loss limit. During volatile news periods, unrealized losses can accumulate rapidly across multiple positions. Mobile notifications ensure you can react quickly to close positions before reaching the firm's hard limit, especially when spreads are wide.
Avoid Trading Illiquid News Events
Focus news trading on major USD pairs during high-liquidity events like NFP, FOMC, and CPI releases. Avoid exotic pairs or news from smaller economies where liquidity disappears and spreads can widen to 50+ pips. Even though City Traders Imperium allows all news trading, the execution conditions during low-liquidity events create unnecessary risks to your account balance.

Related Rules

Maximum Total Loss
5%
Profit Target (Phase 1)
8%
Minimum Trading Days
3 days
Payout Split & Schedule
80% (up to 100%)

City Traders Imperium Comparisons

/Compare/Fundednext vs City Traders Imperium/Compare/Ftmo vs City Traders Imperium/Compare/Fundingpips vs City Traders Imperium/Compare/The Funded Trader vs City Traders Imperium

Frequently Asked Questions

Disclaimer: This guide is for informational purposes only and does not constitute financial advice. Prop firm rules change regularly — always verify current terms on City Traders Imperium's official website before purchasing a challenge. Updated 2026-03-08.