Newbie here! When to switch from demo to real accounts?

[lucie_fxtrader]

Hey guys!

I am relatively new to forex trading. So far I have only studied information available in the internet so to make sure i understand the basics before diving in...

My question here is... When is the right time to switch from demo to real accounts? I mean can you really be confident that your demo strategy will work on the real thing?
Thank you!

 

[Enivid]

Depends on the timeframe of your trading strategy. If you have a lot of trades per day, then demo-trading positively for a month or two can be enough. If your demo strategy is long-term, then you probably need some years before switching to live.

In any case, I would advise switching to small live account (under $100) to see if your strategy can be executed in real market conditions at all.

 

[radex78]

Maybe only as advice because so many trader get fail and can't maintain account more than six month, practice in demo they can trade for six month and use initial capital small money in demo at least equivalent with amount of money that will prepared later on real account, test your own skill and then making conclusion whether ready to start in real or not yet.

 

[lucie_fxtrader]

Thanks for your help guys. I'll keep practicing on demo and thinking to open soon a small real to get the feel of the market and see the difference.

 

[radex78]

Maybe one weakness on demo practice is can't built up psychology trading because no emotion pressure, and better in demo account use capital equivalent with amount money that want to investing in real account later, so if they want start with $100 hence they can use capiatl in demo also $100 for leanring, because usualy initial capital in demo is too much money so often result in demo better than in real account

 

[daveM]

Once you have established competence with one type of entry and exit, then you can entertain a real account.... It is up to you to evaluate your skill.

You need only one setup.... master that and you will have an income for as long as you are trading.

 

[radex78]

If any trader newbie they already have good confidence with their abiity during practice in demo, hence they can start with real account and choose cent account or micro account and just spent money that afford to lose, some broker offer low minimum deposit even use one dollar we have opportunity to trade in real account like as in my broker instaforex.

 

[AlexOZ]

When you follow a single trading plan - risk management, time commitments, entry and exit - to consistently generate a positive return on a demo account over say over two months. Be honest enough to include mistakes as they will cost you in real trading. Then start with enough to make reasonable trading decisions like scaling out etc. Contrary to others I believe a very small amount is not realistic for trading. So test, test, test before starting.

 

[CallahanSinclair]

Changing from a demo account to a real trading account depends on various factors, including your demo account's profitability. If you have developed a trading strategy, made consistent profits, and achieved your financial goals, you are more likely to succeed in a real trading account. The other factor is how well you understand market conditions. As you know, market conditions can change, so ongoing learning and adaptation are essential. Also, ensure that you have a clear risk management plan and have successfully implemented it during your demo account. I think these are the things that we should pay attention to in order to switch to the real account.