Today most brokers offering online stock and Forex trades offer free demo trading of their trading platforms for a fixed period of time. Traders can make use of this offer for get familiar with the software and the market, and to test different trading strategies. Although demo trading is not that similar to real trading, it is advised to paper trade when you are new to trading, whenever you open an account with a different broker or whenever you change a trading platform. There are many things to get familiar with before you enter in to actual trading with real money.
- Make sure that the platform works for you. It is simple enough for you that you understand everything.
- Make sure the platform offers enough features like charting, news alerts, quotes, account balances, etc.
- Understand the order entry options and methods.
- Know how to place limit orders with the system.
- Know how to place stop losses with the system.
- Know the type of spreads in the software – fixed or variable.
- Know lot size, and how you can change, mix and match lot sizes.
- Know how it presents trading summaries.
- Make sure that you can use the summary for easily tallying.
- Make sure that you will have access to dealing room if your net connection goes down.
<< Home