You do not have to worry about losing your money when you are demo trading. your demo account does not demonstrate to you industry standards to manage the sentiment fear. That's why you remain emotions while in demo. But when you come to live trading from demo trading, you brings emotions (the fear of losing and greed more more profit) with you. That's why the result between demo and real account is not the same.
Demo trading is devoid of emotions That's why making profit here is easier. It says us te importance of psychology. We need to be emotionless while trading. Open trade only when every aspects of your strategy is matching with the market.
I would say demo trading is not easy it's just risk-free as there is no real money included in the demo trading. Demo trading is basically to understand the trading for a newbie, testing your strategy or your EAs, and getting an introduction about the broker's services and trading conditions. Demo trading is as same as live trading just without the money.
I've said before that emotions don't usually work in demo trading. Demo trading has virtual money, it is not a problem to lose money, so emotions usually do not work. Many traders make a lot of profit in demo trading but they do not get good results whenever they go into real trading. Greed and fear can cause this problem.
There are numerous factors which make demo trading easy;
1. Risk free: You can freely trade on the demo account without fearing to loose your deposit. 2. Learning platform: You can learn how to trade on the demo account as it is generally the replica of the live trading platform. Thus you get a better idea of what is going on in the market as it is clearly discounted on the demo charts as well. 3. Building and testing strategies: The demo set up works as a testing platform for your ea's, robots, strategies etc.
In short demo trading is easier when you are trading with a genuine broker (like Fxview, HYCM, Hotforex etc) who do not manupulate the prices and fetch similar price feeds and spreads on both demo and live accounts.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
Any data and information is provided 'as is' solely for informational purposes, and is not intended for trading purposes or advice.
Past performance is not indicative of future results.