The nuances of forex trading on real account
One of the most frequently asked questions asked by new traders sounds like - is there a difference between real and demo accounts? Of course, there are very significant. Moreover, there are many nuances faced by a novice trader, opening a real account first. Many brokers prefer to keep silent about them.
All the caveats that distinguish the demo account of the real, are divided into three groups:
Psychological
Product
Special
Technical aspects are that the virtual account all the transactions conducted by a computer. On a real account is already running the human factor, in other words, the transaction shall have a person not a machine. For a demo transaction, all operations take place in a fraction of seconds, regardless of the price movement. The real deal with you people running here and certainly not so quickly. For while people process information, decide to pass some time. It happens that it takes less than a minute and if a novice until such time worked only with the demo, it just will not have time to conduct transactions on the appropriate price.
While the dealer is engaged in processing information, the price will have time to change several times. And this applies to both the closing and opening of the transaction. For example, the trader before the news release put warrant, the news came out, and has 70 items in the profit available for this demo can be easily. But in the real world can be a problem: most everyday - it's a long time obrabatyvaniya transaction, and the severance of ties with the dealer. And while the person is trying to get through to him, is from five to 15 minutes, the price changes direction and turns instead of income loss. Correct it does not.
The psychological point is that often when trading on a demo, people can get away with heaps of good deals, but as it comes to the real deal, nothing happens. What's the matter? It's simple - when it is trading on a demo, people believe - he risks nothing, but in real life you can lose everything. The man begins to fear shaking step, or click and panic as it is known - is a bad counselor. Because this will be advantageous to start with a small amount of loss, which will not cause you emotional trauma.
Finally, special moments, the ones who do not like to discuss in the forums DC. These are the moments when the trader does not give money. For example:
Do not market quotations or, in other words, a trader at the terminal there is the so-called "candle" in the 300 points that first blows a stop-loss, then the price returns to their former positions. And the demo is not a candle and brokers as well.
Slippage, another way to rob a trader. For example, he put an order to buy a pound at 1.4400, and broker a deal to put him to 1.4410, a quire of points as usual.
Opening the market, the broker is always a deal worse than the market opens up a few points and also at the closing. And so in any transaction, of course losses will be considerable.