How does demo account differ from a real account
With demo account, you can learn Forex market trading, master, and test your own trading strategies and expert advisors online absolutely free of charge. Trade under real trading conditions on virtual funds.
In practice – often because of the lack of a real money commitment – results achieved from trading in a demo account can differ considerably from actual live trading results. Even if a person performs extremely well trading in a demo account, their results in a live account often differ considerably. In general, this phenomenon tends to arise because of emotions. When your own funds are at risk, a trading mindset is often different from the mindset set for trading virtual money.
This potentially significant factor needs to be taken into account by a trader when assessing the value of a particular trading strategy or the services of a forex broker they are testing. The primary reasons to observe the differences between live and demo account trading tend to fall into two main categories: execution-related and trader-related ones.