Updated 2026-03-08
Phidias PropFirm News Trading Policy Rule Explained
Phidias PropFirm
Quick Answer
Phidias PropFirm allows news trading on all high-impact economic news events during both Challenge and Funded phases.
This policy permits traders to open and hold positions during major economic announcements like NFP, FOMC, CPI, and GDP releases. The rule applies across all account sizes and phases without restrictions. Since news trading is allowed, there are no consequences for trading during these events - traders can take advantage of volatility opportunities.
Key Rule Details
Policy
Allowed
Detail
News trading allowed
Applies To
All high-impact news (NFP, FOMC, CPI)
Enforcement
Automated — breach triggers account review
Phases
Challenge and Funded
Calculation Example
Common Mistakes
Avoiding All News Events
Many traders mistakenly avoid trading during news releases, thinking it's prohibited like at other prop firms. This leads to missing profitable volatility opportunities during major events like NFP or FOMC announcements. For example, avoiding a clear EUR/USD breakout during ECB announcements could mean missing 50-100 pip moves on a $100,000 account.
Over-leveraging During High Volatility
Traders often increase position sizes dramatically during news events, thinking the policy permission means unlimited risk is acceptable. While news trading is allowed, the daily loss limits still apply - risking 10% of a $50,000 account during volatile NFP release could quickly breach the maximum loss threshold and fail the challenge.
Ignoring Spread Widening Costs
Traders focus on the policy allowing news trading but forget that spreads can widen from 1 pip to 15+ pips during major announcements. Opening large positions during FOMC meetings with widened spreads can result in immediate floating losses of $500-1000 on standard lot sizes, eating into profit targets unnecessarily.
Trading Every Economic Release
Some traders interpret the allowed policy as requiring them to trade all high-impact news events to maximize profits. This leads to overtrading low-probability setups during minor economic releases. Trading every single news event often results in choppy, unprofitable trades that accumulate losses while still meeting the minimum 3-day trading requirement inefficiently.
Protection Strategies
Plan News Events in Advance
Use an economic calendar to identify all high-impact events for the week and plan your trading approach for each. Since news trading is fully allowed, you can prepare specific strategies for different announcement types. Mark NFP, FOMC, and inflation data releases to either capitalize on volatility or avoid trading if your strategy doesn't suit the expected market conditions.
Use Smaller Position Sizes During News
Reduce your normal position size by 50% during high-impact news events to account for increased volatility and spread widening. On a $100,000 account, if you normally risk 1% ($1,000), limit news trades to 0.5% ($500) risk per position. This allows you to benefit from the allowed news trading while protecting against sudden adverse moves.
Set Price Alerts Before Announcements
Configure alerts 15 minutes before major economic releases to monitor spread conditions and volatility changes. Since Phidias allows news trading, use these alerts to time your entries when spreads normalize after initial volatility spikes. Set alerts at key technical levels that align with expected news-driven price movements.
Avoid Trading Unfamiliar Economic Data
Only trade news events you understand thoroughly, even though all high-impact news is permitted. Focus on 2-3 types of announcements like NFP or FOMC rather than trading every allowed economic release. This selective approach leverages the policy freedom while avoiding unnecessary risks from unfamiliar market reactions to obscure economic indicators.
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Disclaimer: This guide is for informational purposes only and does not constitute financial advice. Prop firm rules change regularly — always verify current terms on Phidias PropFirm's official website before purchasing a challenge. Updated 2026-03-08.