Almost all forex brokers provide you with a fantastic learning tool, a demo account. A Forex demo account gives you the perfect opportunity to practice on a forex broker’s platform. It is an account funded by simulated funds but behaving like a real one. Both prices and transactions are designed to mimic real trading on this platform.
Trade made on a practice account should have the feel and behavior of real buy/sell orders.
Opening the demo is a simple process. Follow simple steps, and a new account is set up and ready to go within minutes. That’s all you need to do. Depending on the broker, virtual funds are available for trading. Change the amount of demo money to match your funds. If you have to trade, you need to reset your account balance to that amount. The purpose of having a demo account is to simulate realistic market conditions.
Take your time, and don’t rush things. Take your time and watch. The reason for this is that it takes more than a few trades to evaluate your forex trading system. It makes sense to give the market time to go through bullish, bearish, and sideways market conditions. It will provide you with a much better idea of how your system might perform in the future than just looking at the trend in one particular direction.
The next thing you need to do is learn the mechanics of the trading platform. There are subtle differences in how trading is conducted from broker to broker. They offer different types of orders. A lot of money was lost due to misplaced orders. These things are slightly different from platform to platform and need to be learned before trading. You want to practice on your demo account, read more at https://pocketoption.com.co.
Now the most interesting. Find out what analytics options commercial software offers. The software packages provided by brokers are becoming more and more complex. The platform provides system integration, automated trading, and news feed. Most traders will never use all the features on offer, so choose what you need and keep your screen in order.
Conclusion
Most traders forget about demo accounts when they start trading for real. Some of them never expire, so they are always available. However, as long as you have a real account, you should always offer a demo. You need to keep it as long as possible. Check your broker’s policy and make sure your demo always works.
