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Contributor of the Month
Posts: 1,289
Registered: ‎10-03-2016

Beware Demo

Very good article on the pitfalls of demo and the potential damage it can do long-term. Learn the platform on a demo but learn trading on a live account using as small a position size as possible.

 

http://www.tradeciety.com/5-surprising-reasons-why-demo-trading-is-bad-for-you/

 

 

*** Intraday Price Action Scalping on FX Majors ***
Occasional Contributor
Posts: 7
Registered: ‎26-12-2016

Re: Beware Demo

Some good points there, but to be honest, you could go the other way and become too cautious.  I find that I do best when I have a little bit of apathy toward losing a few thousand pounds.

Contributor of the Month
Posts: 1,289
Registered: ‎10-03-2016

Re: Beware Demo

@Captain.  True enough we must be prepared to lose, and by how much you are comfortable with will depend on your account size. The stats are unequivocal though, most new traders will blow their small accounts pretty quickly, usually coming hot off a prolonged spell on demo where it is somewhat easier to re-fund the account. Demo isn't real trading and the platform works different, slippage, changing spreads, entry/exit prices. Something that works on demo will not necessarily work on a live platform.

*** Intraday Price Action Scalping on FX Majors ***
Established Contributor
Posts: 318
Registered: ‎21-03-2016

Re: Beware Demo

Traders are blind to the psychology and emotions of live accounts, they will realize and experience psychology on live accounts. It is huge subject.

 

http://tradingpsychology1.blogspot.co.uk/

Occasional Contributor
Posts: 7
Registered: ‎26-12-2016

Re: Beware Demo

You can eventually become numb to emotions.  I think you will perform best when you treat your account like a hybrid, not quite a demo account, but not quite your "rent money".

Established Contributor
Posts: 318
Registered: ‎21-03-2016

Re: Beware Demo

Trading success is a mental game.Here are professional psychologists discussing psychology,  demo accounts are only there to familiarize with platform.

 

Trading psychology the best knowledge