When to switch from demo account to real account

The career of most Forex traders begins the same way; almost everyone is confident in their competence and immediately starts from a real account.

But after the first deposit is lost, the beginner becomes more careful and moves on to trading on demo accounts .

So several months of trial and error pass and finally, successful transactions begin to appear, every day there are more and more of them, the deposit gradually increases.

Successful trading on a demo makes you want to quickly switch to a real account, because virtual earnings could turn into real profits.

In fact, the amount of profit for a month or other reporting period does not fully characterize your skills as a trader and is not always a guarantee against repeating mistakes.

There are several conditions, after which you can declare that you are ready to trade on a real account:

• The amount of drawdowns should not exceed more than 10%, this indicates that you have learned to manage losses. Even 10% is quite a large figure, but there is already hope that you will not repeat it. deposit drain.

• Profit amount – in relation to the initial deposit, it is better to evaluate the indicator for one month. It is desirable that your profitability be more than 5% per month.

• Trading period - at least 3 months, only after you have traded for at least three months on a demo account can you talk about at least some stability.

Moreover, the average profitability indicator for these three months should exceed the same 5%. • Confidence – you yourself must be completely confident that it’s time; self-confidence is the most important indicator of readiness.

To test your psychological stability, it is best to try trading on cent accounts . So trading with real money always differs from trading on a demo account.