Should you use demo account?

[Dave_Davis]

Playing with a DEMO account is like practising with a barbecue without lighting the fire for fear of getting burned. A total waste of time and effort, AND the meat is likely to spoil anyhow Best is to jump in boots and all and take responsibility for your decisions and live with the consequences. This is the ESSENCE of stock or forex trading and if you aren’t prepared to take the heat, then best to stay out of the kitchen.

[ixs]

Trading on demo account will give you same basics about forex tradig, but it’s not going to teach you anything about dealing with the emotions you will feel once that account balance is connected to your wallet

I feel i have to add something here. What John Rambo says there is very true, i keep a demo account for sports, just to show whats possible for people who got balls of steel and take hi risk. ( IPCAM 1) , no cookies, no malware, no nothing just a disclaimer and a mt4 generated statement i keep updated once a week when the last new york session closes. Theres like a +50% in three months there, starting with $4000 i technically hypothetically am generating a standard income within three months. However, that’s a demo, like John Rambo says here, you dont give a nsht because there’s nothing to lose, however i havent burned out yet either because i keep some kind of measure into it.

NOW, what i needed to add is : the demo account does NOT behave like a standard one. I keep both open at the same time and sometimes theres one to two pips difference on where the pair stands and at rush hour on my standard i have to set prices at least 21 pips from market while on the demo i get to set them 7 pips from market 24/7
and so on
but i proves what is technically and hypothetically possible for people with not a lot to lose, everything to gain, and nerves of steel
i wouldnt do it with my savings if i were a person who has an actual life, see, i could post a live statement but thats private and i dont nearly have the 5000 i needed to get started because of … everything about this place but no, its not the same and YES you should start with a demo to get ‘the hang’ of it
just know that its not the same when you go live

[CahCuncun]

Demo account should be maximized as well as possible. Using demo account, trader can learn how to maximize their account. And as a trader, we must improve our trading skill. Demo account is suitable for beginners to learn about forex trading, even the experienced trader also still use demo account to get more trading experience. I also still use it when trading to more understand about forex trading.

[Rambo35]

That’s true, but at least it gives you a pretty good feel of the market and allows you to practice your new skills without dealing with monetary loss and the negative emotions just yet.

In my opinion dealing with monetary loss and negative emotions in a live account means getting real trading experience, and that’s how we should learn.

[roberylanrody]

Hi,
I am start Forex. Can i used demo account. If can then how it possible.

[SDC]

Sticking with your example of driving a car. I agree that you should take your first few rounds in a parking lot, but even in a parking lot you are driving in the real world. Trading in a mini-account or smaller where you only trade 0.01 lots can be compared to a parking lot. Trading demo is like playing ‘Need for Speed’ which you said would not help you learn how to drive. The same applies to demo. In NfS when you crash your car you get a new one and you feel no impact at all. Let’s say you drive in a big parking lot in the mall and for whatever reason you crash your car in the wall you will feel an impact. I hope you get my point.

Need For Speed is about driving at irrational speeds on city streets. You could trade irrational amounts on demo forex and make it the traders version of Need For Speed. Alternatively you could use demo in the same way as pilots use flight simulators in which case it is a useful learning tool.

[matthudson]

One thing we should learn in forex is to be emotionally detached. However to answer your question, using demo account will certainly benefit you in many ways. You can develop and test a system without risks, you can learn how to use trading platform effectively,

However some drawbacks are there too, like you have mentioned not understanding the real risk we are facing and no encouragement of sound money management. All in all It’s much better than nothing at all.

[CahCuncun]

I think the demo account should be used well before starting trading real account. with a demo account we can practice trading well and the demo account we can learn to trade well. novice trader must use a demo account if you do not want to experience a greater loss