Forex Demo Accounts – List of 10 best demo accounts to trade Forex
A Forex demo account is basically exactly the same as a normal FX trading account, but the only difference is that no real profits or losses are made on demo accounts. The rest of the features remain the same, but the money involved is not real.
For instance, you may use a demo account to play a game online and you are either going to win or lose most of the games you play. Whatever the outcome may be, you are not going to lose or gain any money at all.
Demo accounts were made to help people get used to the overall methodology of trading Forex from an online platform before actually getting started. It is a good way to practice, especially when you are new to a certain platform or broker.
Best Demo Trading Accounts
Basics of a Forex Demo Trading Account
In the same way, there exist a lot of forex brokers out there who do offer their customers demo accounts to get started with. This way, they let their new customers practice as much as they wish to, granting them all the features and live site access. There are a number of advantages of using a demo account when it comes to forex trading, which is all mentioned below:
- It allows users to understand how forex trading functions.
- All the transitions and data is real and everything happens live, with changes taking place right on time.
- No profits or losses are involved whatsoever, so you don’t have to worry about your cash.
- Allows users to understand Forex strategies.
Brokers providing Forex demo trading account
We have gathered the names of some of the best forex brokers who provide their new customers with a demo trading account. They are Hot forex, FXCM, Fxpro, FXDD and GCITrading. These brokers ensure that their new customers receive a demo account to get started, and the account given is also known as an unpaid demo account at times.
These brokers impose no restriction on the time limit of how long you are allowed to use the demo account. Hence, it lets you make the best out of the demo account for as long as you wish to, and you can get started officially once you think you are ready.
Features of the demo account
Following are some of the features you get to use as a demo account holder. Even though they may not be too many, they are definitely noteworthy and helpful, showing how important demo accounts are.
- The values change on a real-time basis, allowing you to buy and sell at the same prices as you would on a normal account.
- You get lots of virtual money credited into your demo account, using which you can freely place your trades and experiment with strategies.
- Allows you trade 24/5 days a week, just like you would on a normal account.
Even though the fact that demo accounts are completely similar to a normal account with the features, values and change in prices stands true, there are chances that sometimes, demo accounts may operate in a completely simulated environment. Therefore, there are going to be quite a few differences which do make them much different from a normal account. However, the live forex market liquidity will be something they would not have to depend on. Moreover, the fact that there are several products available in a demo account which you may fail to find in a normal account also differentiates a demo account from a normal one.
You are also going to notice that whilst using a Forex demo account, your transactions will be executed at great and efficient paced and rejection is going to be rare. You will also barely find issues such as slippages or failures, which is going to make it look like the platform is rather too efficient. There could be cases where the margin requirements differ from the live account requirements when it comes to the updates to demo accounts, and they could be different from the real accounts. These are a few cases you may want to understand before you get yourself a demo account.