Basics · 4 min read · Updated 11 April 2026
Making the most of a demo account
Virtual money removes the fear, which is exactly why demo trading can teach bad habits. Use it with a plan.
Most regulated brokers offer a demo account funded with virtual cash. It mirrors live prices and order execution, so it is the best free classroom you will find. It is also easy to waste.
Set the balance to what you would really deposit
A $100,000 demo balance teaches you nothing about managing a $1,000 account. Most platforms let you reset the balance; choose a realistic one.
Practise the boring parts
- Placing a stop-loss and a take-profit on every order
- Closing a position partially
- Checking the overnight financing on a held position
- Finding the statement and export functions
Keep a log
Write down why you entered each trade and what happened. After twenty trades you will see patterns that no tutorial can show you.
This guide is general information, not financial, tax or legal advice.