The idea of using a demo is to try to replicate the real thing without the money loss risk.
You are not learning properly on the demo if you do not use it properly.
As to the stop loss, I am not quite understanding your concept.
[B]Here is the solution to that problem…[/B]
[B]The only thing I wish to contribute my teaching skills to give readers a simple formula for calculating lots to trade.[/B]
The formula is L/l.
The letter “L” stands for loss!!
The little " l " also stands for loss.
So it is an easy formula to remember.
The formula expanded is Loss ($)/loss (pips).
Here is an example to show how it works…

Lets say you have a trading capital of $10,000

Lets say you want to risk 2% of your capital.

2% of $10,000 is $200

Lets say your trade (PCI stop loss) is risking 25 pips.

Now apply the formula…L($)/l(pips) = $200/25 = 8

8 what?
That is $8/pip.

Check your accounts.
A standard lot is $10/pip…this is too much.
A mini lot is $1/pip.

You can, therefore, trade 8x1 minilots = $8/pip as required.
[B]You may want to print this page and keep it for reference. [/B]
Adapted from #1566, page 157 from
http://forums.babypips.com/newbieisland/10812joycandlesticktradinglearningexperience.html
. I know the longer time frame will have less noise, but does that means you will loose a lot of trading opportunities?
No!
Trading opportunities depend on your choice of trading system.
There are trading opportunities on all timeframes.
It can prevent you from jumping into a false trend, …
False trend???
[B]A trend is a trend.[/B]
A trend is a trend regardless of what timeframe it appears in.
There are trends in all timeframes.
Trends are different in how strong they are and how long they last.
[B]The main problem with your trading is that you are not using a large enough stop loss as Phil838 told you.
Generally, the longer your timeframe, the larger your stop loss.
This is because the longer timeframe summarize the happenings in the shorter timeframes.[/B]