Using a practice demo account is a well-known strategy and is often the most prescribed advice in trading circles. But only a small minority of traders patiently hone their trading skills. It’s a truth that’s painful to see.
Consider that over 67% of retail traders end up losing their capital trading CFDs on eToro alone. Among this group, many may dismiss online trading as gambling because it was their default approach.
Becoming a consistently profitable trader entails lots of practice and effective use of the demo account:
How to Get an eToro Free Demo Account
Step 1) Navigate to the eToro demo account sign up page.
Step 2) Fill out the form to create a retail trader investor account. For ultra-fast sign-up, eToro allows signing up through Facebook or Google.
Step 3) Switch to the virtual account following these steps:
Switch from Real to Virtual. The platform will generate an alert asking you to confirm.
Here are the top things to do on the virtual account:
- Get familiar with trading markets on offer, including currencies, indices, commodities, crypto, or stocks.
- Check out the social trading section (Copy People).
- See their “Invest in CopyPortfolios.”
- Explore the eToro Club.
Discover more on the full eToro Review.
Advantages and Limitations of the Etoro Demo
Here is what a beginning trader should take into consideration.
|Copy-trading and copy portfolios are available||It doesn’t fully replicate the emotions of trading with real money|
|Access to all available financial instruments|
|Easy to set up, no payment methods or deposits|
|Real account feel|
Why Trade on the eToro Demo? Is It Wasting Time?
How can ordinary and inexperienced traders beat the game? Rather than risking real money to learn “hard trading lessons,” the eToro demo account is a much more compassionate teacher. Essentially, every trade is virtual, with no risk. The platform offers an account balance of $10,000, and it’s easily replenishable.
How Much Time Should a Beginner Spend on the eToro Practice Account?
Good question and the answer is quite simple: until they become confident, risk-averse, consistently profitable, skilled & knowledgeable. Set aside adequate time each day for virtual trading on the eToro platform demo. After weeks or months spent in a virtual environment, don’t rush into real-trading.
A gradual transition from the practice account should entail first risking small sums of money. Anything you can afford to lose and still keep the lights on, for instance, $50 or $100.
Why are we advocating trading with a small balance? When real money is in play, emotions such as fear or greed may foil even the most perfect trading strategies.
Be wary of other trading falsehoods. You may assume that learning a specific technical trading strategy will unlock profits, or purchasing an exclusive trading system from a financial guru is the key.