A demo has virtual money, so the liquidity is unlimited.
Unless they use a live feed, so you have exactly the same pricefeeds as a live account.
Why demo performance is often better than live performance?
- Thread starter Rambo35
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A demo has virtual money, so the liquidity is unlimited.
Unless they use a live feed, so you have exactly the same pricefeeds as a live account.
as far as I know in demo accounts the quotations are with a delay and are not EXACTLY the same as on live accounts
I feel demo trading is tension free trading. We make lot of profit here ,use high lot because there is no tension of capital if we loose in next trading we recover loss. less emotions are involved in demo trading. So it is better performance than real trading.
Well, for one thing, live atmosphere and real environment is difference from demo trading. Apart from the fact, that there is no psychological tension involved and you are quite at relative ease when trading demo ... knowing fully well that your mistake won't actually punish you and any profit won't benefit you.
The real point of demo trading is to devise a strategy and then keep replicating it and master the art of duplicating your performance so that there is no hindrance when you are going live in real market.
Demo server is never over-crowded, trade context never gets busy, slow connection never affect the efficiency of your trade execution nor you ever experience the slippage.
Even then demo trading has its own benefits.
The real point of demo trading is to devise a strategy and then keep replicating it and master the art of duplicating your performance so that there is no hindrance when you are going live in real market.
Demo server is never over-crowded, trade context never gets busy, slow connection never affect the efficiency of your trade execution nor you ever experience the slippage.
Even then demo trading has its own benefits.
Demo trading account main advantage is that - one could trade the virtual amount as they wish and here there is no risk factor working. Its just a type of test ,the traders are doing before entering to the real trading world. Traders can learn anything related to the market but yes sometimes this demo account can bring some carelessness to the traders as they feel very relaxed about thinking that they are having enough knowledge from demo accounts and thus trade in real account casually,which leads to a big loss.
Demo account is for those who lacks the knowledge of dealing with Live account. It is just to make them familiar with the process of Real trading. Thus its results are different in their performances.
I think in demo there is no our money involved and we are trading without any fear but when we start trading with live account we are under pressure and we can feel fear of loosing so it can happen that demo trading is better then live trading.
Here is my demo performance from last month:
[IMG removed due to excessive width]
I also switched to real few days after with the same strategy, however, finally I lost somehow. Hence never come to conclusion that demo is similar with real.
[IMG removed due to excessive width]
I also switched to real few days after with the same strategy, however, finally I lost somehow. Hence never come to conclusion that demo is similar with real.
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demo has its uses, but dont expect the exact same results of live, i do trade some trades on demo if im not certain or even do some comparisons by entring both at my live and demo at hotforex just to see how it goes.
I still feel like it's that psychological aspect, on a demo account you just naturally don't feel the pressure to make drastic moves giving you more clarity but when you transfer to a live account that all but goes out the window. Maybe if one starts with demo then uses in conjunction with live you can get the feel of those same emotions and way of thinking.
Well, I guess that's cause as long as your own money is not concerned - you keep cool and able to make better decisions. When your money is at stake - it becomes much harder to control your emotions. Controlling your emotions is actually a big issue in trading.
Yes this is a known fact that many of the Forex traders are not able to have a control over their emotions.
And this is also a reason why they will fail and unable to get any profits from their trades
Different trading conditions give you different performances. I also experienced this in the past, my demo perofmance was incredible, no loss in > 10 trades in a row. But when switch to live trading, my account can't stand after first week.
demo account performance is often better because trading in demo account, emotions hardly come in play because in the real sense you've got nothing to loose.
I mean I think that people like them just because it's a good way to get a good start. I know that they have helped me out a lot in the long run because I was able to come up with a good way to trade. I could figure out the way that I would be able to do it best. I know that some people say that they are bad, but you just need to know the things you should be cautious about before you make an account. If you're going to make a demo account then you should try and make sure that you know that when you're live trading, the market won't be the same. Another thing would be that you will lose emotion if you lose money with the demo account. Since it's not your money, you won't care that much about the money that you're losing. So, just make sure that you are cautious about that because you don't want to end up losing more money than before the demo account you made. Also, if you want a good place to find demo accounts then I would suggest checking out concordbay.com/en because they are the best place for all the things that you will need. I went to them, and I have to say that I was very pleased with the results that I got.
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