Demo can not make you well experienced

Correct setup of a trading system requires constant testing if you make changes. At the beginning of the trading way, you can start trading with Demo, but then you must definitely test trading on minimum deposits, and only after that, you can start trading with the main volume.
The most important thing here is to gain experience in money management and risk management, and not start earning from the first minutes of trading. The good performance of a trading system depends not only on the algorithms (even if it is an EA), but also on who is the manager. The trader must be trained and ready for a wide variety of situations.

@bridgekarate Yes demo trading is not for being experienced in trading. Demo account helps us to try our strategy and plans. We can learn how to execute our plans on demo.

That's true. It is so funny when people boast about their trading success on demo accounts. Surely, these are two different things: live account and demo account. It is not only because of psychological factors, but also because the mechanics of trading. Like, there are no slippages and delays in demo accounts, unlike the real ones. So, the overall experiences are completely different.

BalPaper posted:
That's true. It is so funny when people boast about their trading success on demo accounts. Surely, these are two different things: live account and demo account. It is not only because of psychological factors, but also because the mechanics of trading. Like, there are no slippages and delays in demo accounts, unlike the real ones. So, the overall experiences are completely different.

I think demo is the best place to learn and practice.

Definitely demo accounts are useful to get the feel of the trading world. It allows the trader to become familiar with the market and to understand the risks so that the trader can develop the skills accordingly.

@Unellene Yes demo helps us to understand how trading work. It is also the place to apply your knowledge that you have learned so far.

Demo trading is an excellent way to enhance your trading skills and strategies. However, it can’t make you a pro in trading because real trading involves emotions and requires proper risk & money management, which comes with practise and after a few trades.

Willowerno posted:
Demo trading is an excellent way to enhance your trading skills and strategies. However, it can’t make you a pro in trading because real trading involves emotions and requires proper risk & money management, which comes with practise and after a few trades.

Demo trading definitely serves a purpose but you're right in that it is not like live trading. Watching ticks go against you tests your mental strength and ability to trust in the strategy that demo cant give you. But experience is so key and that will resolve most issues like that

While it won't 100% prepare you, at the end of the day the numbers are the same on a a screen and trading with a demo account that is likely to widely differ from your live trading account size won't help. Get used to the lot sizes you will be using live. Get used to seeing the numbers on screen both for and against you. If you aren't winning on demo then why are you going live? These are all things that need to be thought about. I think the issue is a lot of people struggle being honest with themselves about their skill level when they go live.

Using a demo will not make you an expert but most people are beginners and a demo account is a great way to learn in a safe environment

No doubt that demo trading is an excellent way to increase your trading skills, but it can’t fully prepare you for the market. Live trading is different from the demo in many aspects: it requires traders to be emotionally alert with proper risk & money management. With only time and experience, one can become a better trader.

It's true that demo account forex trading is not the same as live trading, but there are advantages to starting with a no-risk environment. Besides helping you stay in control of your trades and manage risk more easily, it enables traders to try new strategies without risking real money or wasting time learning ineffective methods.

Traders can use demo trading as a learning tool before trading with real money. They can learn how money management affects their profit or loss.

Demo accounts can’t make you well experienced and well versed with basic ideas of trading. The real trading starts with a live account which gives you experience and skill which are acquired over a period of time.

The real experience is trading on a real account, no exceptions.
At the same time, only if you trade with the correct strategy setup, trading plan, analytics, this will give the desired experience. If you trade and rely only on luck, then it's just a 50/50 coin toss.

I totally agree with this statement. Demo trading is only good for introduction but not for the educational purposes. You can test your ideas on demo account as well in order to sort out which ideas you can try to implement on real account and which are the piece of trash. Demo is not suitable for learning just because of the fact that there is no psychological aspect there which plays crucial role in real trading. It is impossible to remain indifferent when it comes about your personal money on the market. These emotions introvene into your decision making process and newbies are always driven by their emotions and feelings rather than common sense and logic. That is why if you want to be a success in trading you have to comb your psychology and make it not take part in taking decisions. More than that, demo account cannot give you slippages or spreads or commissions which are very important to include into your trading strategy, otherwise, your profits will be miserable and unpredictable.

Demo accounts are not made to make traders well-experienced. It is like a helping tool. By practicing on demo accounts, traders can learn how real trading platforms work, what are different indicators and how to use them, how to read charts, place orders, and almost everything that is technical and necessary. However, if you talk about becoming well-experienced, I think a lot of traders don’t learn well on live accounts as well.

Demo is only helpful till the time you understand forex terms, beyond that if someone is getting profits on demo then there is no harm in switching to micro lot accounts for live trading. This thing will tell you how to manage your real money along with the management of stress and emotions.

This idea is very important to bear in mind. There are so many traders who trade on demo for many months and even several years, however, demo account will never make you a good trader. It is something like the fact that you play computer games will never make you a driver or a shooter or a pilot. Demo is only an exercise or a sandbox for traders, real experience can be acquired only through trading real money. There are certain features which are not present in trading demo like psychological pressure. I believe that noone can experience fear or greed while trading fake money because whatever the outcome of the trade is, you don't get any profit or loss. Demo trading makes you indifferent to your trading results. The situation is different when you trade the real money. More than that, there are no slippages or requotes in demo which play important role in trading. So, if you want to be a good trader, you'd better trade at least microlots in order to have this feeling of winning or losing, which will make you improve your skills, your market analysis, otherwise, trading with demo is just a waste of time.