What is 5X23 on Nasdaq? It is a proposed trading model that would allow US stocks to trade 23 hours a day, five days a week. The plan was officially submitted by Nasdaq to the SEC in December 2025 and represents a major shift in how equity markets could operate.
What Does the 5X23 Trading Model Mean?
The name 5X23 refers to five trading days with 23 hours of market access each day. This would significantly expand the traditional US trading schedule.
The goal is to give global investors the ability to trade US stocks during their local business hours instead of waiting for New York markets to open.
How Would the 5X23 Schedule Work?
Under the proposal, trading would run from early morning through late evening, pause for one hour, and then resume overnight.
The trading week would begin Sunday night and end Friday evening, creating near-continuous access to US equities while still allowing time for system maintenance and clearing.
Why Is Nasdaq Pushing for 5X23?
Nasdaq wants to stay competitive in a global market that never sleeps. Crypto and international markets trade almost nonstop, and demand for overnight access to US stocks has grown steadily.
The proposal also responds to competition from newer exchanges that have already received approval for extended trading hours.
What Are the Risks of 23-Hour Trading?
Critics argue that overnight trading could lead to lower liquidity, wider spreads, and higher volatility during off-hours. There are also concerns about operational strain on brokers and market makers.
Supporters counter that liquidity will grow over time and that investors already trade overnight using less efficient alternatives.
When Could 5X23 Go Live?
If the SEC approves the proposal, Nasdaq expects to launch the 5X23 model sometime in 2026. The review process is ongoing, and feedback from market participants will play a key role.
Conclusion
5X23 on Nasdaq could reshape how and when stocks trade. If approved, it would bring US equities closer to a round-the-clock market, offering flexibility for global investors while raising new questions about liquidity and market structure.
