Before you dive into online trading with a head and start to
trade your own real money, the most important thing - try your hand on a demo account. According to its functional characteristics demo account does not
differ from a live trading account. It uses exactly the same trading platform,
as well as in real trading. The only difference is that you are trading with
virtual money. Other characteristics like movement of exchange rates and
financial instruments, making deals, technical analysis and installation of
pending orders repeats the real account.
The demo account allows the trader to get acquainted with
the trade practices in the financial market, as well as to gain experience with
the trading platforms. A demo account is an indispensable tool for sharpening
trading strategies, systems, and automatic expert in the real market
conditions.
The only drawback of demo accounts that a lot of traders and
personally I experienced is that you don't feel the real risk of losing money
and you can allow yourself to trade irresponsibly. Good thing it quickly disappears
when you start to trade on real accounts.
In the future, when you become an experienced trader, you can also use a demo account. Since it's a great opportunity to test your trading system (strategy) on real data in real time, before applying it to real money. Professionals always recommend to test the new trading systems on a demo account, and only then use them in your real trading.
It is Interesting post to let me know what is demo accounts. Actually, I do not know much about trading or speculator. in your blog, it may let me know have some common senses about trader/trading stuff.
ReplyDeleteA demo account seems like a good way to get started in trading. I do find stocks confusing though. But this will help.
ReplyDeleteI had never heard the term "demo account" before reading your blog, but it sounds like a very good idea for those new to stocks. It's also very interesting learning about the stock market in general, it's a whole new world to me!
ReplyDeleteThis is a good advice!! Sounds similar to downloading the free trials to test how the program works before putting any money.
ReplyDeleteDemo account would be a good idea to start trading with and gain practical knowledge about it before actually investing.
ReplyDeleteI had no idea these even existed, but I can't imagine trying to start without them. With so much money on the line, why would anyone bother going in blind?
ReplyDeleteTrading is huge now a days but it is really important that you know all the perimeters
ReplyDeleteof it and I agree that demo account will give clear in-site of trading world. Thanks Liubomyr for sharing this.
Thanks for an amazing post. I was looking to do online trading but was scared. I will definetely try DEMO and after reading about it, I can surely say that it will help me feel confident. Thanks again.
ReplyDelete