What if I told you there was a way to get started in forex trading without risking a dollar, a way where you can learn about:
- Lot sizes
- Trading mechanics
- Risk mitigation
- Technical analysis and charting
…all for free.
Did you know that with most forex brokers, you can get a demo account at no charge? Without spending a dime, you can practice with a demo account that functions just like a “real” account.
But why? The broker thinks if you learn how to make trades and get some experience using their platform, when you’re ready to put real money into the game, you’ll stick with them.
When you open a practice account, you can learn the ins and outs of forex trading, at no charge and without risk. For beginners that want to learn how to trade first with play money, trading in a demo account is the way to go. They can avoid using real money and the financial risks that come with it. Traders can practice watching the market and making trades. Now granted, practice trading is conspicuously missing the adrenaline rush that comes when you have real money on the line, but it’s safer.
It’s a no-brainer. Open a free demo account before you start trading real money.
It’s a great opportunity to demo trade while you’re putting together a consistent and profitable trading plan before you put one red penny at risk.
Why are demo accounts so great? Because at no cost to you, you can open a pretend account, wheel and deal to your heart’s desire and get trading experience.
Make a Mantra
Say this out loud.
I will use a demo account to help me develop a stable, profitable trading system before putting in real money.
The point is, DO NOT, and I repeat, Do NOT open a live trading account before learning how to trade profitably and consistently using a demo account.
Learn the skills and techniques to catch which way the wind is blowing with a demo account before trying it out for real. Keep emotions out of your trading and learn patience for long-term gain.
To give yourself the best chance at success, use a demo trading account for a good thirty days. This is how you build up techniques and confidence to get started.
Give yourself a leg up by going in prepared. Use your demo account to practice and learn!
Best advice? Don’t spread yourself too thin! Stick to one major currency pair.
Going after several currency pairs from the get-go is just plain stupid. It’s complicated and hard to keep track of. The top currency pairs tend to be more liquid, so you’ll get tighter spreads with less chance for slippage.
Pro tip: Take the time to develop good trading habits. Concentrate on improving your trading steps.