MoneyTec Traders Community Forum - View Single Post - A Question For the Experts (from a newbie)

Steve UK · 10-09-2003, 06:07

Hi Chaps

Firstly let me say I’m no expert but have been trading demo accounts for about 3 years and real accounts for the last two of them

I agree 100% with what “eternalfuture” says about the whole psychology of the difference between demo and real accounts and yes I have been there myself many many times!!

I guess however you was asking more as to if the demo and live platforms act in the same way – well yes and no….

1. Orders on demo accounts are dealt with by a robot while real account orders are handled by a dealer at the other end – that’s your first difference

2. The price feeds on demo vs. live are not always alike either a different feed or a delayed feed

3. you never get a re-quote from a robot but you could well do by a real dealer

4. you never get slippage on a stop by a robot but you could by a real dealer

5. limits are always done if your order hits your level on a demo account but what about a real dealer?

Without knowing what type of trades you do on your “system” and the timing of these trades if difficult for anyone to tell you what problems you may face on a real account over that of a demo.

If your system trades 100 times a week and makes let say 300 pips overall then you may well find that a real account could well lose as some if not all of your pips could be eroded by some of the points I made above. If however your system trades say 10 times a week and your net profit is 1000 pips then to lose a pip or two here and there wont matter too much – oh and by the way if you have got a system as good as that then please let us all know!

Steve

10-09-2003, 06:07	#3
Steve UK level 1 Join Date: Jun 2003 Posts: 19 Downloads: 0 Uploads: 0 Rep Power: 0	Hi Chaps Firstly let me say I’m no expert but have been trading demo accounts for about 3 years and real accounts for the last two of them I agree 100% with what “eternalfuture” says about the whole psychology of the difference between demo and real accounts and yes I have been there myself many many times!! I guess however you was asking more as to if the demo and live platforms act in the same way – well yes and no…. 1. Orders on demo accounts are dealt with by a robot while real account orders are handled by a dealer at the other end – that’s your first difference 2. The price feeds on demo vs. live are not always alike either a different feed or a delayed feed 3. you never get a re-quote from a robot but you could well do by a real dealer 4. you never get slippage on a stop by a robot but you could by a real dealer 5. limits are always done if your order hits your level on a demo account but what about a real dealer? Without knowing what type of trades you do on your “system” and the timing of these trades if difficult for anyone to tell you what problems you may face on a real account over that of a demo. If your system trades 100 times a week and makes let say 300 pips overall then you may well find that a real account could well lose as some if not all of your pips could be eroded by some of the points I made above. If however your system trades say 10 times a week and your net profit is 1000 pips then to lose a pip or two here and there wont matter too much – oh and by the way if you have got a system as good as that then please let us all know! Steve Last edited by Steve UK : 10-09-2003 at 06:39.