A demo account is a trial version of a live trading account. By using a demo account, a beginner can practice Forex trading risk-free and get to know of the MetaTrader 4 features.
WHY DEMO ACCOUNT
Before you trading with real fund, we strongly recommend you to get started in Forex with a demo account. Indeed, it is the perfect way to explore a trading platform and learn how to carry out trades because a demo account bears the same features as a live account. The main difference between them is that a demo account is funded with simulated or virtual money, so all profits and losses are fictitious. Apart from newcomers, a demo account is helpful for traders with Forex skills as it enables them to experiment with unfamiliar products and trading strategies.
HOW TO OPEN A DEMO ACCOUNT
- A demo account can be opened only through MetaTrader 4
- Download the setup file here and install the MetaTrader 4
- After the MetaTrader 4 is installed, you should launch it.
- Now you can open a demo account. In the upper menu, select File –> Open an Account.
- Now fill in all fields in the registration form. Choose the type of account you would like to open and specify a value of an initial deposit for your demo account. This amount will be automatically credited to your demo account. Now, you have simulated funds to be used for your training. A deposit amount is always specified in US dollars.
- After all fields in the registration form are completed, click on the “Next” button. In the pop-up window, you will see a password and number of your demo account. Make sure you save or keep this information as it is unable to be recovered.
ADVANTAGES OF TRADING ON DEMO ACCOUNT
- You will practice skills of Forex trading
- You will learn how to analyse Forex market
- You are able to test and streamline your trading strategy in a mirror Forex market without risking your money
- You will develop your own system of risk management
- You will get to know the ins and outs of MetaTrader 4
A trader can open as many as demo accounts as possible. So you are free to open a separate demo account to practice a new trading strategy on the MetaTrader 4. To become a successful professional trader, you do not have to start trading with big investments. A demo account is a wise solution launch on Forex. If you able to develop your own vision of the market, success will be just around the corner.