Trading your strategy on DEMO is a waste of time

[gabbie2010]

I have no intention of riling up anyone, but as a learning trader it is good that we discuss facts with one another. The first truth is that there is no spare money anywhere in the world; every money are valuable. To improve your trading psychology, you must practice your trade strategies on a live trade; even if you start out with 10$; you need to feel the heat, be under pressure.

Trading is for individuals who can afford to lose money, so if you cannot afford to loose money; please do not trade. In trading we are here to multiply money and not create it; live trading helps you compound losses or multiply money; while demo trading creates money for you.

No risk, no reward; start practicing your trading strategy on a live trade; even if it is 1$; feel the heat and develop instinctively.

I don't think Demo trading is a waste time dude, because through this We can practice how to earn in the actual trade.
I know what you feel and I understand that, but I think you are giving it a wrong interpretation, it is actually helpful to any newbies
who will enter into trading business.

A newbie trader is expected to start testing a strategy via demo rather than going live with a real account after testing the strategy with a demo if their is any need to tweak or modify the chosen strategy that can be convincingly done with a demo after making profits consistently such a trader can now open a live account with a little amount to test his psychological and emotional aspect of trading.
I disagreed with OP that demo is waste of time personally I had demoed on many strategies before sticking to my favorite one

[TedMosby]

yeah, couldn't agree more with you.
we need to control our emotional and psychological aspects doing a trade. so far, it's the hardest part for me.
it's like you have 2 working minds inside your head. you have to follow one of them. it's difficult to define which one is better in giving you options.
even if you are really good in fundamental or technical, bad psychological conditions could lead you to a loss.

IMO, a Demo account aims to give you a chance to learn how to use the trading platform, not how to trade.

[canovan25]

I have no intention of riling up anyone, but as a learning trader it is good that we discuss facts with one another. The first truth is that there is no spare money anywhere in the world; every money are valuable. To improve your trading psychology, you must practice your trade strategies on a live trade; even if you start out with 10$; you need to feel the heat, be under pressure.

Trading is for individuals who can afford to lose money, so if you cannot afford to loose money; please do not trade. In trading we are here to multiply money and not create it; live trading helps you compound losses or multiply money; while demo trading creates money for you.

No risk, no reward; start practicing your trading strategy on a live trade; even if it is 1$; feel the heat and develop instinctively.

Thank you very much for the guide to losing all the money. First deposit lost, second, third, 5, 10, all money. Perfect.

Personally, I think you need to watch who earns how. If there's a $10 billion fund that does that, then you have to mark in notebook that smart/wealthy people do that. If the biggest person trading such a strategy is John with $50K from reddit - you should cross out that strategy right away and forget about it. Forever. Or let there, a million dollars. This is obviously a bad story. Or be prepared that at some point, even after losing 100 deposits, having trained and reread all the books on technical/fundamental analysis(Fundamental analysis is the only thing you can pay attention to, but you just have to buy the index) / esotericism / laying out tarot cards / astrology and other obscurantism, you will lose your deposit.

[RealMalatesta]

Actually there are some people who very careful with their money, trading in DEMO help trader to know whether their strategy is right or false. As a trader we also need to know the difference about trading and gambling. For me trading means that we are trade using right strategy, usually we test it first before we do real trading, while gambling in trading means we trading using strategy that we pretend it as good strategy without analyze data and test.

You are very right depending on how you do your tests, there are right ones and right methods and there are wrong ones and wrong methods. The problem with testing is that one thing that is right according to backtesting may not be right in the future, something that happened in the past may not happen the same way now, which is why I think it is quite important that we do not let ourselves go big time just because our baacktesting came back great.

Even if you do demo and check what happens live, that doesn't mean that next month being great means three months later being great as well. So basically testing is very important, but we should not see testing as everything neither, there is something in between there. I say we should be using testing like something that is one part of the equation while taking care of other things as well.

[boyptc]

IMO, a Demo account aims to give you a chance to learn how to use the trading platform, not how to trade.

It could be both.

But most likely you're right.

It is a way to try the platform by that person who has just signed up for that moment. We have those two thoughts about why someone has signed up for those demos.

And they're both good reasons and it's their time to spend, not ours.

[Slow death]

something very strange that happened to me years ago:

a few years ago I decided to learn how to trade forex, I created a demo account and started practicing, funny that it was all very easy and I was able to profit from the demo account. I said to myself: "I am learning fast... "

as i was having good results in the demo account i decided to add funds using my bank card and started to trade... the first time i deposited $10 and made a profit of $12, i was very happy and kept doing trade and lost all money.

I didn't give up, I deposited $20 I made a trade and lost, I deposited $30 I made a trade and lost, I deposited $50 I made a trade and lost all money

I decided to stop, my conclusion was that the demo account for some reason is easy to deal with and make a profit, but in reality things are different

in the case of cryptocurrency trade I learned by practicing a lot and losing a lot of money

[Hamphser]

IMO, a Demo account aims to give you a chance to learn how to use the trading platform, not how to trade.

It could be both.

But most likely you're right.

It is a way to try the platform by that person who has just signed up for that moment. We have those two thoughts about why someone has signed up for those demos.

And they're both good reasons and it's their time to spend, not ours.

Actually this do depends on a certain person on how he do treat up on making up demo trades but actually this is still a good thing for you to grasp on the very basics.

I do agree that this do particularly focuses out on how to make use of a certain platform and not totally teach you to make trades but on the very essence that you could really
able to test out strategies that can hone up and could really improve but i do agree on most part with users here that nothing beats out
when you do make up actual trades.

Its not a waste of time if you do able to gain something from it.

[matchi2011]

IMO, a Demo account aims to give you a chance to learn how to use the trading platform, not how to trade.

It could be both.

But most likely you're right.

It is a way to try the platform by that person who has just signed up for that moment. We have those two thoughts about why someone has signed up for those demos.

And they're both good reasons and it's their time to spend, not ours.

If they are thinking that using demo account will help them to increase their knowledge then it's really good. Everyone
have their own explanation to why they use demo.

For most experienced traders it's understandable that they've got much deeper understanding knowing that they won't
be compensated financially by using only demo account.

[boyptc]

IMO, a Demo account aims to give you a chance to learn how to use the trading platform, not how to trade.

It could be both.

But most likely you're right.

It is a way to try the platform by that person who has just signed up for that moment. We have those two thoughts about why someone has signed up for those demos.

And they're both good reasons and it's their time to spend, not ours.

If they are thinking that using demo account will help them to increase their knowledge then it's really good. Everyone
have their own explanation to why they use demo.

For most experienced traders it's understandable that they've got much deeper understanding knowing that they won't
be compensated financially by using only demo account.

From the term demo.

No one's really going to benefit from it financially, experienced or newbie. Who's expecting something to benefit from it by using it?

[stomachgrowls]

Demo trading does have its pro's and con's.

Pros.
Trade at No Risk While Training
Test a New Trading Strategy Without Risking Real Funds
etc.

Cons
Real Trading Conditions May Differ
You Might Learn to Overtrade
etc.

You can read up more here: https://forextraininggroup.com/the-pros-and-cons-of-forex-demo-trading/

Demo vs Live trading
https://mytradingskills.com/demo-vs-live-trading-accounts

[Questat]

Not totally a waste of time since you still get some ideas on how a certain trading platform works. This is not about trading but this likely had a tour and familiarization, we can do more learning when we are doing the trade in real.

If others will say it is nothing but for the newcomers, it is big help then. But of course, it won't be enough to think that they are ready enough to do trading. They must have to do the live trading just to assess themselves if they are capable enough to handle the stress and market pressure.

[2double0]

Exactly, I also had the same thinking like everyone that we should trade on demo but when I saw that there is a big difference between the results in demo and real, I changed my mind. Still, demo gives a glimpse of how trading works and it should be traded on, before going live. I won't say you should do it for a longer period, but at least 2-3 months before going live. And like you told us, $10 is enough to try out a trader's capability if they are able to handle the pressure and keep patience while practising good risk management or not.

[ReiMomo]

As I understand, a demo doesn't really give benefit to traders because that is a demo and moreover the other term it's a practice trading.
That is a good amount to start and practice, but I don't know if $10 is enough to cover those high fees as of now, even ethereum was having terrific high fees. If you can afford and cover it all, why not, that is a good start in trading that should practice first before you will be going to the real battlefield of trading.

There's nothing wrong if you will try demo trading even at once and yes, there is pros and cons on it better to give it try.

[icopress]

I see that everyone has their own opinion on this matter, but I probably agree, beginners should start with the demo version at least in order to have an understanding and get used to the tools. For example, to people close to me, I recommended starting with testnet.binancefuture.com along with some literature. I can say with confidence that the use of the demo version was appropriate, since during real trading newbies get the same knowledge as on the DEMO, (although they operate with funds that they subconsciously plan to lose).

[Yatsan]

Trying out your trading strategy on a demo is not really a waste of time for it is a preparation on how you are going to get into the real deal for you must be foreseeing what it feels like upon applying your knowledge that have been learned upon acquiring needed information on learning trading. This is somehow a simulation of what you can possibly do in a live trade assessing your capacity to do trading via demo. You will be dealing soon with a real money so you must build up confidence once and for all and demo can somehow build it up into you.

[BuNga_cute]

One of the keys to successful crypto trading is having trading experience, how to get trading experience without spending money and having
no risk. We can use trading platforms that provide a demo version, because we usually trade using money that is not real. Even if we lose we
don't lose anything, so demo trading is great for enhancing our trading experience and getting us more trained when trading. So if anyone says
demo trading is a waste of time, I'm sure they haven't tried it.

[Traderbtcc]

Trading with demo is not all that bad, I think people normally use demo's to test their trading strategy first before applying it on a live trade, but you are right noobs can't relay on succeses with demo trading to show that they are good to enter the market, they need to invest real case and feel the heat and the emotions they would have trading with their hard earned, unlike the demo cash that they can simply reload after they lose it all to wrong trades.

[kawetsriyanto]

You must notice that trying the demo isn't a must!! If you need it, you can try it to help you get more understanding of trading on that exchange. It is not all about your trading skills or your knowledge in trading but the demo introduces you to know "how to use the trading features on the exchange properly". I think as a professional trader, you know about it very well, mate.

[jaberwock]

You have a point with what you're telling.

But that's actually the point of doing demos. You can several strategies on it and whether it's a newbie or experienced one, it's okay to do demos for your strategy.

I get the point of what you say that you can really test yourself and a strategy through live and real money but demos are also a good place to start with.

But we need only to set some period of time to use demos and should have a courage to try it real since that's what the real trading is, that's the only time where we can earn and feel the pressure, when there is pressure, there is a chance that they will work harder to earn and to know how we can strive harder. The presuure will only be in real money and may not be in demos.

That's the point of demo, if you keep using demo and never turn into real, you will never make any real profit as well, what is the point of trading on demo for years? People will turn into real trading eventually, it is not about timing neither but more about how much you learned.

Some people use it for a week and then start real trading and make a profit from all the things they learned, some people test the demo for months and still fail in real trading and go back to demo to learn more. Long story short there is really nothing you could do to pinpoint a period and there is no reason to keep doing it forever as well, it is just a period that people will decide themselves, changes from person to person but one thing common for all is stopping eventually. That is at least how it should be, I have a friend who still uses it even though he does real trading, he thinks it is just very fun and like a game so I guess that works too.

[livingfree]

You have a point with what you're telling.

But that's actually the point of doing demos. You can several strategies on it and whether it's a newbie or experienced one, it's okay to do demos for your strategy.

I get the point of what you say that you can really test yourself and a strategy through live and real money but demos are also a good place to start with.

But we need only to set some period of time to use demos and should have a courage to try it real since that's what the real trading is, that's the only time where we can earn and feel the pressure, when there is pressure, there is a chance that they will work harder to earn and to know how we can strive harder. The presuure will only be in real money and may not be in demos.

Why you have to limit yourself in using demo? use it as much as you can or until the demo expires. No one stops you for limiting yourself or doing it as much as you can.

But the point is until you're confident and good enough then just do it. That's why it's a demo account, you don't have to pressure yourself.