06-05-2011, 11:52 AM
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#17 |
Join Date: Aug 2007 Location: Stoho Thanks: 2
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| Re: Demo Account Trading Two things come to mind:
1. regarding futures trading platforms, my experience is that the difference between a live and a demo account can be huge, as demo orders are not routed for real, nor are they subject to first-come first-served rules that apply IRL, where you will stand in line after those who simply are faster, and they will not be few. Forex on the other hand (not currency futures but actual forex) tend to be closer to reality even with a demo account. One reason being that the forex markets are extremely liquid most of the time, especially if you trade the majors, so switching to a real account is more seamless.
2. Many tend to point out the difference between demo and live trading in terms of the pressure. Personally, I have to disagree. I guess it depends on you as a person. If you trade the demo with a serious mind, sticking to your rules, taking the trades that you should according to your plan, not taking the others etc, you should be dead-on. If switching to real money makes you goof, you probably spend to little time on the demo, or you are trading to large positons, or both. Look at the demo trading as a test that you need to pass in order to be eligible for live trading, that should put the right amount of pressure on yourself.
Anyway, since you are in the futures markets, be very careful when switching from demo to live. You need to be prepared for some not-yet-experienced slippage to say the least. Take care. |
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