Diffrence between real & demo trading

fxking1 posted:

Thalantas posted:
Execution time (instant in demo, not in real), slippage, price feed (the price shown in demo could be different from the real price)...

No. That is not correct. Because the strategies i have played on demo given same results in real also. 😎

The feeling of trading your strategy shouldn't change whether on demo or real when you are really ready ( you know how to handle your winners just as you do with your losers. )

Demo and Real Performance matching is only possible when the strategies do not exploit the vulnerabilities within the trading platform and server infrastructure.

FXtalk_eu posted:
DEMO trading is never equal to LIVE trading.

1. DEMO accounts do not have real slippage
2. DEMO accounts have instant execution
3. DEMO accounts have different price feed

Do I need to continue?

Our Demo account trades with ThinkForex. Thinkforex offers both ecn spreads or their std spreads. If we were to trade on ThinkForex Pro Ecn spreads our performance would be better than Live. However, we trade on the Std spread feed to ensure Live accounts will make more than our Demo performance. The difference in spreads between the two feeds does not make 1 system profitable on demo while being unprofitable Live unless you system exploits the price differences.

Also if your execution on Live is not fast as demo, you are using Metatrader and not a real platform.

The main difference between a real account and a demo account is that a real account uses the money you actually have in your bank or credit card, while a demo account 'pretends' to use virtual money.

Demo is a simulator of a live forex world!

Depending on the emotion. If the trader thinks that liquid money is a real investment in the demo platform, then the demo platform is instructive for me. But if I think the investment in the demo platform is fake then I can't learn anything from it.

In fact, if demo trading is taken seriously, the demo platform can be the best learning site for beginner traders.

Demo trading is where a trader practices their skills. No real money is involved or at risk, on the other hand real trading is where a trader invests their money to buy and sell currencies in order to make a profit.

I think that the difference will be shocking. However, it depends on the size of the trading deposit. With a bigger trading deposit, a person will face less stress because he can afford greater pullbacks and more mistakes. If this person’s big trading depo is not his last money, it will also contribute into the further relief of stress. Of course, getting started on a real account with a modest depo for an ordinary inexperienced person is another thing. This person is bound to face more stress.

Real trading and demo platforms are different. Profiting in real trading is our original meaning so our emotions work a lot.

Imamul posted:
there is no technical difference between live and demo trading . its all about psychology

Technically there is no difference but it is related to real investment.

In demo trading, there is not much fear or greed while participating in the financial markets. With a real account, if you lose a transaction, you just lose real money, so you will be affected.

Demo trading (practice) is important because you can learn about the broker's trading platform and improve your execution skills.

A demo account is useful for getting the hang of the forex trading platform and creating trading strategies. Practicing on a demo account will also help you gain confidence, which will prevent you from committing silly mistakes that could translate into big losses.

Money is the key factor that differentiates trading through a real account and a demo account. In my opinion traders of all sorts should start their journey using a demo account. Demo accounts are basically helpful in gaining experience and testifying new strategies until you find your comfort zone. It is never a wise decision to stake your hard-earned money without enough information about trading.

Demo teaches you the basics. Real account teaches you about emotions as well.

good point, good one @ElliotEll
I don't see much difference though It doesn't make any difference to me, I play with real money like demo

The major difference between real and demo accounts is that demo accounts are good for testing out strategies without the fear of losing real money.

A demo account is a practice account where traders test out trading strategies and build trading skills. A demo account is a risk-free account because traders trade with virtual money. Such accounts are generally free.

A live account is the opposite of a demo account. Here, traders trade with their own money and participate in the moving market. There are different types of real accounts. For beginners, a micro account is the best to get started.

A real account and a demo account are quite similar to each other in functioning but one major difference is in terms of money. In a demo account, you trade with virtual money but in a real account, your own money is involved. Demo accounts are the best way of practising and backtesting the strategies by the trader.