A demo account is the best option for trial if you’re starting. But when you have tried different and unique techniques that other traders are followed, you are making huge profits with each trade over a demo account. You are ready to open a real forex trading account with a well-regulated broker.
But it is true. When you switch your account to real, you start to lose money. Some traders face capital draw and downs; for most beginners, it takes to understand the whole game of trade. However, each trader has a transitional phase between live and demo trading. Here are some signs that will indicate when to move from a demo account to live forex trading.
Four indicators that you are ready to move from demo to live forex trading
- Making consistent profits
It’s unrealistic that you never lose any forex trade. Making consistent money and winning everything, each trade is a different thing. Losing is an essential part of the forex game.
If you have lost once or twice in a week, don’t underestimate yourself. Instead, concentrate on your skills and strategies in searching high-probability setup that will assist you to minimize your failures and maximize your victory.
Analyze profitability on your demo account each month. It will help you to examine your track whether it’s right or you need to work on it.
Social media, influencers, and trading gurus often depict day trading as the ultimate solution for trading in the financial markets. However, day trading is only one form of trading and is widely misunderstood by most enthusiasts. In reality, successful day trading is heavily dependent on a trader’s psychological mindset, making trading psychology a crucial aspect of this trading style.
- Set clear-cut risk management rules
Having a clear-cut set of risk management rules is crucial to have on the checklist. There are times when market trends surprisingly and you doubt your analysis and trading strategies. During these hard times, your risk management plan is only what could secure your account.
So, when you decide to start a live trading account, you should analyze yourself that l if you have set risk management rules that help you know when you’ve been trading much or lost enough.
- Don’t panic when your trade is losing.
Do not panic when you are losing money. You may need to rethink your strategy and invest hard-earned money if you do.
We know it’s hard to relax in harder times. But you should make a full-fledged trading plan and stick to following it. It will assist you to think, plan and evaluate your strategy and change more clearly.
- You’re satisfied with your broker and trading platform
Before opening a real account and putting your real money at risk, you should know all the Ins and outs of your trading platforms. Like fxchoice offers a facility of a demo account to their clients.
Moreover, do solid research about the broker, and know all about slippage and broker’s pip spreads, so you should keep an eye on these elements while executing real trade. Many brokers like
You should easily contact the broker member right after you sense any bad act. And when you achieve their trust and satisfaction with their services. Your next step should be open a real account with them.
In a nutshell, staying consistent is the core element while trading forex. Most of the traders execute downfall after switching their demo account to real. So, stay cool; there are many opportunities to come.