View news trading rules for other forex prop firms
FX2 Funding News Trading Rule
The Simple Answer
FX2 Funding restricts news trading on all Forex and non-Futures accounts. Traders must not open new positions within 3 minutes before or after any event classified as high-impact (red) on the Forex Factory economic calendar. This restriction applies during both evaluation and funded phases on all standard programs.
The restriction is instrument-specific: it applies only to the currency pairs or instruments directly tied to the news event. Futures accounts are exempt from the news trading rule entirely. A soft breach applies for violations: profits generated from trades opened or closed within the restricted window may be removed rather than the account being immediately terminated.
Below is a breakdown of how the FX2 Funding news trading rules apply across their account types and stages.
| Challenge Type | Evaluation Phase | Funded Phase |
|---|---|---|
| Instant Funding | N/A | Not Allowed |
| 1 Step Challenge | Not Allowed | Not Allowed |
| 2 Step Challenge | Not Allowed | Not Allowed |
| Futures (Futures Plans) | Allowed | Allowed |
Breakdown by Account Type
Instant Funding
FX2 Funding’s Instant Funding account provides direct funded access without an evaluation phase. The 3-minute pre and post news event window restriction is active from day one. No new trades may be opened on the directly affected instruments during the 6-minute total window around Forex Factory red events. Profits from any such trades are subject to removal under the soft breach policy.
1 Step Challenge
The 1-Step Challenge is a single-phase evaluation leading to a funded account. The news trading restriction applies during the evaluation phase as well as on the funded account. Traders must observe the 3-minute window on both sides of Forex Factory red events for the relevant instruments throughout the entire program.
2 Step Challenge
The 2-Step Challenge involves two evaluation phases followed by a funded account. The news trading restriction applies consistently across both evaluation phases and the funded stage. There is no phase where the restriction is lifted for this account type. All Forex Factory red events on the directly affected instruments are subject to the 3-minute window rule throughout.
Futures (Futures Plans)
FX2 Funding’s Futures accounts are fully exempt from the news trading restriction. Traders on Futures plans may open positions before and after high-impact news events without any restriction. The Forex Factory calendar restriction and the 3-minute window rule do not apply to Futures accounts at any stage.
Warning System for News Rule Violations
FX2 Funding applies a soft breach mechanism for news trading violations on Forex and non-Futures accounts. Profits generated from trades that are opened or closed within the 3-minute restricted window on the directly affected instrument may be removed from the account balance. This is a profit-removal rather than an account termination consequence for initial violations. Traders who repeatedly violate the news trading rule or who generate significant profits from prohibited window trades risk further account review and potential account closure. Futures accounts are not subject to any of these consequences.
Final Comments
FX2 Funding’s news trading restriction applies from the first evaluation phase, unlike some prop firms that only restrict news trading on funded accounts. The 3-minute window is applied equally during the 1-Step and 2-Step evaluation phases and on the funded account. Traders who rely on news-based entries on Forex pairs must plan their approach accordingly from the start of the challenge.
The instrument-specific application means that the restriction affects only the pairs directly tied to the relevant event. A USD event restricts USD-denominated pairs during the window but does not prevent trading on unrelated instruments such as GBP/JPY or commodity pairs. Traders with diversified books can continue trading non-affected instruments during the window period.
The Futures exemption is a meaningful structural distinction. Traders who specifically trade economic data releases on futures instruments can do so without restriction at FX2 Funding. The news restriction applies only to non-Futures accounts. The Forex Factory calendar is the sole reference point for event classification, and only red (high-impact) events trigger the restriction. Medium and low-impact events are not covered by this rule.
👉 Learn more details and compare prop firm discounts here: Propvator.com.
FAQ
What is the news trading window at FX2 Funding?
FX2 Funding applies a 3-minute window before and a 3-minute window after any Forex Factory red (high-impact) event on the affected instruments. The total restricted period is 6 minutes per event. No new trades may be opened on the relevant instruments during this window.
Does the restriction apply during the evaluation phase or only when funded?
The restriction applies throughout all phases, including both phases of the 2-Step Challenge, the evaluation phase of the 1-Step Challenge, and the funded stage. There is no phase where the news restriction is relaxed for non-Futures accounts.
Are Futures accounts subject to the news restriction at FX2 Funding?
No. Futures accounts at FX2 Funding are fully exempt from the news trading restriction. The 3-minute window and Forex Factory red event rule do not apply to Futures plans at any stage.
Which news calendar does FX2 Funding use?
FX2 Funding uses the Forex Factory economic calendar. Only events classified as red (high-impact) on Forex Factory trigger the restriction. Mid and low-impact events are not covered by the news trading rule.
What happens if I trade during a news window at FX2 Funding?
FX2 Funding applies a soft breach. The profits from trades opened or closed within the restricted 3-minute window on the affected instrument may be removed from the account balance. The account is not automatically terminated for a first violation, but repeated breaches or large profits from prohibited window trades can result in account closure.
Does the restriction apply to all instruments or only specific pairs?
The restriction is instrument-specific. Only the currency pairs or instruments directly tied to the news event are restricted during the window. A USD-related event restricts USD pairs but does not affect instruments with no direct connection to that release, such as GBP/JPY or certain commodities.