Lesson 8 of 69
Demo account vs live account
5 min read
Reading progress0%
Chapter checkpoints
0/1Optional — tick a chapter as you finish it to keep your place inside this lesson.
A is a full trading account funded with virtual money. Prices are real, execution is simulated, and losses cost you nothing but pride.
| Demo | Live | |
|---|---|---|
| Money at risk | None | Real |
| Prices | Real market feed | Real market feed |
| Emotions | Almost absent | The hardest part of trading |
| Best for | Learning the platform and testing a plan | Executing a plan you have already proven |
How to use properly
- Set the demo balance to what you will actually deposit — not $100,000. Trading a fantasy account teaches fantasy habits.
- Trade the same position sizes you intend to use live.
- Keep a : entry, exit, reason, result.
- Aim for consistency across at least 30–50 trades before going live.
When to go live
Switch when your process is repeatable, not when your demo balance is high. Then start with the smallest your broker allows — real emotions need their own learning curve.
Key takeaways
- Demo teaches the mechanics: platform, order types and position sizing — for free.
- Demo cannot teach emotion, because nothing real is at stake.
- Trade demo with a realistic balance and the same rules you would use live.
- Move to live only after a run of consistent, journalled demo trades.
Knowledge check
3 quick questions — your best score is saved to your progress.
1. What can a demo account NOT teach you?
2. How should you set your demo balance?
3. When are you ready to go live?
Progress is saved on this device.
Related lessons