A price freeze on news events is a manipulative tactic used by unethical brokers to disable real-time pricing and trade execution at the exact moment the market becomes most volatile—usually during high-impact economic announcements such as Non-Farm Payroll (NFP), interest rate decisions, or CPI releases. This scam delays price updates or order fills to prevent traders from entering or exiting positions at favourable levels.

In this article, we’ll explain how price freezes during news events work, why dishonest brokers use them, and how to avoid being exploited when the markets move fast.

What Is a Price Freeze?

A price freeze occurs when your trading platform stops updating price data, either entirely or partially, during a key market event. This freeze typically lasts a few seconds to minutes, which is long enough to:

• Prevent order execution
• Stop traders from closing losing positions
• Manipulate the market environment to the broker’s advantage

While brief server issues can happen on any platform, consistent freezing only during economic news is a clear red flag of manipulation.

How the Price Freeze Scam Works

1. Strategic Timing

At the release of major economic data (e.g. NFP), traders attempt to enter or exit trades based on momentum. A broker may intentionally freeze the price feed, causing delays that:

• Stop profitable entries from being executed
• Block exits from losing trades
• Trap traders in drawdown or missed opportunities

2. Delayed Order Execution

During the freeze, you may attempt to place a trade, but your platform will:

• Not respond
• Show a spinning loader
• Requote or reject your order after the move is already over

3. Post-Freeze Price Spike

Once the freeze ends, the platform “catches up”—but by then, the price has already moved 50–100 pips. You’ve missed the opportunity or suffered unexpected slippage.

4. Support Excuses

When questioned, the broker blames:

• “High volatility”
• “System overload”
• “Liquidity provider issues”

Yet, real ECN brokers and independent platforms like TradingView or MetaTrader show no such disruptions.

Why Brokers Use Price Freezes

• To prevent traders from capitalising on volatility
• To delay profitable trade execution until the price is less favourable
• To protect themselves from risk when they are the counterparty (market maker model)
• To reduce payouts and increase losses, especially for scalpers and news traders

Red Flags of a Price Freeze Scam

• Platform freezes only during news events
• Orders are frequently rejected or requoted after a freeze
• Price on your chart does not move for 5–30 seconds, then suddenly jumps
• Other brokers or charts continue working, but yours doesn’t
• No pre-warning or follow-up explanation from the broker

Real Consequences for Traders

• Missed profitable trades
• Unexpected slippage or worse execution
• Inability to manage risk in real time
• Frustration, distrust, and damaged confidence
• Increased likelihood of emotional trading after unfair losses

How to Protect Yourself

1. Use Regulated ECN/STP Brokers

Only trade with brokers regulated by authorities like the FCA, ASIC, or CySEC. These firms are less likely to interfere with execution and must follow fair trading standards.

2. Compare Multiple Platforms

Keep a backup platform open (like TradingView or another broker’s demo account) during news events. If your broker freezes but others don’t—it’s a red flag.

3. Record Events

Use screen recording tools during high-impact events. This gives you clear evidence if manipulation occurs and helps when filing complaints or reviews.

4. Test Execution in Volatile Conditions

Open small trades during scheduled news releases to test your broker’s stability. A freeze during every major event is a clear sign of manipulation.

5. Avoid Brokers That Market to News Traders

Ironically, brokers that push “perfect for news trading” while showing consistent platform instability are often the most manipulative.

Trade with Knowledge, Not Hype

Understanding how brokers operate during news releases is essential. Traders MBA offers trusted trading courses that include broker selection, execution strategy, and how to trade volatile events like NFP safely and effectively—without being blindsided by broker tricks.

Conclusion

Price freezes during news events aren’t always technical errors—they’re often strategic manipulations designed to block traders from success during the most critical moments. By staying alert, verifying broker performance, and using transparent platforms, you can protect yourself from execution traps and build a trading strategy that’s based on real opportunity—not rigged platforms. Because in volatile markets, your biggest enemy isn’t the news—it’s your broker.