Swing Trader-Friendly Prop Firms: Weekend & News Trading

I will explain what some Swing Trader Friendly Prop Firms are that let you hold positions over the weekend and trade during news events.

Firms like FTMO, The5ers, TopStep, BluFX, and MyForexFunds have flexible rules, transparent profit splits, and offer specific account types for multi-day strategies, which allow swing traders to optimize their profit potential and mitigate their risk.

What Makes a Prop Firm Swing Trader-Friendly

A prop firm becomes swing trader friendly when its rules and account structures support longer-term trades rather than just quick, intraday positions. For example, some firms strike a good balance swing trading friendly firm when they allow traders to hold positions over weekends without being penalized and allow traders to enter positions during high impact news events when volatility spikes.

These types of firms tend to have risk management rules that are more flexible, as in wider daily loss limits, less restrictive drawdown limits, and overall are more swing trader friendly. Profit split transparency, as well as rule and fee clarity is a necessity so traders can plan trades with no surprises.

Also, swing trading friendly prop firms tend to offer more account types with different holding periods, trading strategies, and even rules so that traders can trade without worrying about rules.

Why Swing Trader-Friendly Prop Firms

Weekly Position Trading: Some traders swing trade positions for many days. Weekend holding prop firms allow traders to do position trades without the trade being closed for the weekend. This helps traders to maximize the number of trades they do to take advantage of the different price moves possible.

Trading During the News: Certain news releases cause price changes of high significance. These prop firms that are better for swing traders allow trading during that high volatility.

Risk Management Rules: Friendly swing trading firms have higher limits for daily losses and are more flexible with their drawdown rules compared to un-swing trading firms. This helps traders in sticking to their trading style without being punished for losses.

Longer Trade Profitability: Swing traders are traders who trade on multi-day trends of the market. Because of this, holding positions longer prop firms are great for these traders as they are able to get longer profits from larger movements in the market.

Freedom in Choosing Trading Styles: By allowing holding positions for longer periods and allowing trading during news releases, these firms are more accommodating to trading styles that include trend trading, breakout trading, and position trading, and allow traders to choose the style that suits them best.

Friendly Swing Trading Rules and Fees: Swing trading friendly prop firms reveal all their rules, profits, splits, and trade restrictions. This helps traders to plan their trades better without the fear of being penalized without warning.

Top Swing Trader-Friendly Prop Firms

1. FTMO

Established in 2015, FTMO has become a go-to firm for swing traders because of its flexible trading policies and ability to hold open orders over the weekend and trade during news releases as long as risk is managed.

FTMO has several account types ranging from $10,000 to $200,000 with a profit split of up to 90% based on account size and performance. All traders have to complete the FTMO Challenge to receive funding, however once funded, the firm offers ample guidance, risk management tools, and support, which benefits swing traders and traders with multi-day trend strategies the most.

FTMO Features, Pros & Cons

Features

• Being able to hold trades over the weekend
• News trading is permitted under certain conditions
• Different account sizes (10k-200k)
• Up to 90% profit split
• FTMO Challenge required before getting funded

Pros:

• High profit potential
• Clear and transparent rules
• Flexible multi-days.
• Good risk management tools.
• Good support and infrastructure.

Cons:

• Need to complete FTMO challenge before having access to props
• Some daily max loss rules can be quite strict
• Bigger challenges means more money for challenges
• Less room to be aggressive
• Need clear verification to

2. The5ers

Established in 2016, The5ers focuses on capital preservation to accommodate swing traders by promoting low-risk long-term trading. It has flexible risk limits while holding over the weekend and trading during economic news. Account options begin at $24,000, with instant funding available and upwards of profit splits of 50–70% based on account type and performance.

The5ers encourages traders to implement more multi-day strategies due to their low drawdown policies and conservative use of leverage, making their funded accounts ideal for trend traders, breakout traders, and other swing traders who want longer holding periods.

The5ers Features, Pros & Cons

Features:

• Weekend and news trading are allowed
• Long-term trading with low risk is encouraged
• Account sizes start with $24K
• Profit split is between 50% and 70%
• Conservative leverage to aid risk management

Pros:

• Great for swing trading
• Great for multi-day trend strategies
• Easy to understand rules
• Account protection from low drawdown requirements
• Gradual growth and scaling options

Cons:

• Profit split is lower than competitors
• Account scaling is slower for aggressive traders
• Low leverage restrictions means high positions are harder to trade
• high-frequency trading not recommended
• Some account types need to be monitored closely

3. TopStep

Established in 2012, TopStep quickly adapted to accommodate swing trading strategies. While primarily focused on futures traders, certain accounts allow position holding overnight and over weekends, and trading is permitted during high-impact news events on a risk guideline basis.

Account sizes range from $30,000 to $150,000 in simulated funding, and there is an 80% profit split once funded. TopStep’s Trading Combine evaluates performance in areas such as risk and consistency.

Because of its high degree of transparency and clearly defined risk policies, TopStep is an excellent option for swing traders that employ several day holding strategies—specifically those that follow trends or utilize momentum.

Top Step Features, Pros & Cons

Features:

• Weekend and overnight trading is permitted.
• News trading is only allowed at a controlled risk.
• Account sizes are available $30K to $150K (simulated).
• Profit split is 80% after funding.
• Funding is available after the Trading Combine for performance evaluation.

Pros:

• Evaluations are clearly communicated and structured
• Promotes ongoing trading consistency
• Great for future and trend-following strategies
• Within risk rules flexible for swing traders
• Excellent support and educational resources

Cons:

• Trading Combine must be passed prior to funding
• Some rules affect trading sizes during news
• Less ideal for forex traders, mainly focused on futures
• There is overnight risk
• Lower leverage on some accounts

4. BluFX

BluFX, which started in 2017, is a a European prop firm that is focused on forex and swing traders. There is an option to hold trades for several days and to trade during economic news events as there is clearly outlined risk management.

With accounts starting from $50,000 and scaling up to $250,000, traders can receive a profit share of up to 75% based on performance. For trading that captures trends, position trading strategies, and swing trading during these long-term trades,

BluFX is a great choice because it leads to high profit potential. Enhanced trading systems with low-latency and risk management systems refined for multi-day closed positions also support this trend.

BluFX Features, Pros & Cons

Features:

• Keeping positions over multiple days is allowed
• Trading during news is allowed with some restrictions
• Accounts between $50K-$250K
• Up to 75% profit split
• Trading infrastructure with low latency

Pros:

• Position and swing trading strategies are supported
• Clear rules/risk management and tracking
• Multiple account types
• Great for traders in forex
• Infrastructure is stable so execution risk is lower

Cons:

• Compared to FTMO, profit split is lower
• Limited account options for smaller traders
• There is interest in managing risk
• Trading during news is less than ideal
• Less global coverage than some competition

5. MyForexFunds

Since its inception in 2020, MyForexFunds has been one of the most popular firms among traders, especially swing traders. MyForexFunds allows its traders to keep their positions open overnight, as well as to trade during big news releases as long as their positions are within the defined drawdown limits.

Swing traders can be with MyForexFunds because of the rapid, evaluation, and accelerated programs offered which are from $10,000 to $500,000, with a profit split of 75-85% which is dependent on the type of account and how consistent the trader is.

The fast onboarding and rule transparency, as well as support, make MyForexFunds a good option for swing traders interested in managing their risk and trading on “swing”” and/or “break-out” strategies on multi-day trades.

MyForexFunds Features, Pros & Cons

Features:

• Trading news and weekends is allowed
• Accounts: Evaluation, Rapid, and Accelerated
• $10K-$500K
• 75-85% profit split
• Clear guidelines and fast onboarding

Pros:

• Accounts are flexible for swing traders
• Significant profit potential
• Multi-day strategies are allowed
• Drawdown rules and risk limits are clear
• Options for funding are rapid

Cons:

• Less long term track record due to being a newer firm
• Certain accounts need to be monitored
• Position sizes are restricted
• Account types vary with leverage
• To avoid disqualification, rules should be followed closely

Tips for Swing Traders in Prop Firms

Pick the Right Account Type

Set an account with weekend holding and news trading permissions, and with risk parameters to match multi-day holds. Do not take on accounts with strict intraday trading rules.

Weekend Risk Management

Stop-losses, hedging, and smaller position sizes can be used to defend against weekend gaps and unexpected market moves during the weekend.

News Calendar Management

Plan trades around news releases that could impact the market. Some swing trading-friendly firms allow trading during news releases, but the added market volatility might increase risk.

Technical and Fundamental Analysis

Informed multi-day trades should be based on trends, chart patterns, and the fundamentals.

Trading Plan Adherence

For each swing trade, define your entry, exit and risk parameters, and stick to the plan. Do not act on the market’s movements.

Monitoring Drawdowns and Account Performance

Keep an account’s daily losses and drawdowns under prop firm rules through continuous account monitoring.

Automation in Moderation

For trades that cannot be monitored over a timeframe that is longer than several days to a week, use triggers, alerts, and conditional orders to automate the trade.

Common Mistakes Swing Traders Make with Prop Firms

Ignoring Drawdown Rules

Most traders are focused on profit gains, and they forget about daily or overall drawdown losses. Rules like this, even when they prevent drawdowns, can lead to termination of the account.

Over-Leveraging Positions

With over-leveraging, while the return may look enticing, the risk of drawdowns, especially multi-day one’s significantly increases.

Mismanaging Weekend Gaps

A swing trader should consider how to adjust for the gaps on the weekends. Gaps can lead to massive losses. The options are to either adjust positions or make stop losses.

Trading Without A Plan

Poor performance can come from a poor trade, or a trade made impromptu, especially an organized trade. Swing trading and trading systems take discipline to not only follow them, but to also wait for the correct inputs/outputs.

Ignoring The Rules of The Firm

Each prop trading firm has their own set of rules that are generally firm-specific, such as holding period, news trading, and risk limits. A trader can become disqualified from a firm and their rules while making good trades.

Ignoring Basic Risk Management Tools

Hedging, stop losses, and position size are tools that made should be standard. A swing trader is a drawdown that is above the normal cause for a risk violation.

Not Keeping Data

Mistakes due to a lack of data monitoring can lead one to breaches that should not have happened. Keeping data on previous trades can aid to make future trades better. A trader needs to track a number of crucial stats such as days that they lost daily, daily profit targets, and a number of consistent vs. inconsistent trades.

Pros & Cons of Swing Trader-Friendly Prop Firms

Pros	Cons
Weekend Holding Flexibility – Allows multi-day positions to capture bigger trends.	Higher Risk Exposure – Holding trades longer can increase potential losses from weekend gaps or news events.
News Trading Opportunities – Traders can take advantage of high-volatility events.	Stricter Drawdown Monitoring – Prop firms may enforce tighter limits to control risk during extended trades.
Support for Diverse Strategies – Trend-following, breakout, and position trading are possible.	Complex Rule Sets – Understanding firm-specific policies for weekends, news, and risk can be confusing.
Profit Potential on Longer Trades – Multi-day trades often yield larger gains than intraday scalps.	Requires Patience & Discipline – Traders must stick to their strategy without overtrading.
Transparent Profit Splits & Accounts – Clear rules and performance tracking improve planning.	Limited Leverage in Some Accounts – Some swing-friendly accounts restrict leverage to reduce risk.

Conclusion

To finish, prop firms that cater to swing traders need to allow inter-day trading to enable traders to carry positions across weekends to capitalize on gap plays due to news events.

Firms like FTMO, The5ers, TopStep, BluFx, and MyForexFunds have clear policies and regulations, multiple accounts options, and profit splits that are ideal for swing traders focused on following a trend and strategizing.

Because of these flexible accounts, swing traders can manage their risk and firm rules, and have the greater ability to profit without the burdensome limitations of intraday-only trades.

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