Paper trading
- Thread starter mlbeers
- Start date
really... it's that easy!
come on over a join the party
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no but seriously... you have an extraordinarily long way to go psychologically before you can do THAT wil real money...
It is hard to believe, but the actual market is even easier. Most likely you would turn it into double what you already made.
It works like this, all those Exam Prep companies out there, such as Kaplan etc, they have the hardest practice exams and such. I never got higher than 600 on the Princeton Review GMAT practice exams. But on the real test I rocked the boat and had a 730.
I never made any money paper trading, EVER! The focus for me is just not there when the real money is not on the line. I lost almost 65% of my equity paper trading, but the losses were only half as much with real money.
It works like this, all those Exam Prep companies out there, such as Kaplan etc, they have the hardest practice exams and such. I never got higher than 600 on the Princeton Review GMAT practice exams. But on the real test I rocked the boat and had a 730.
I never made any money paper trading, EVER! The focus for me is just not there when the real money is not on the line. I lost almost 65% of my equity paper trading, but the losses were only half as much with real money.
Once you know the mechanics, paper trading is a complete waste of time. Almost everyone who paper trades makes money before they go live.
Almost everyone starts losing as soon as they go live.
Systems traders are not immune to this BTW. They simply stop taking their signals, where as discretionary traders do all kinds of stupid things to annihilate accounts. Revenge trading comes to mind as one of these. Something you'd never do with a paper account.
Its been my experience that most of the people who support paper trading ARE paper traders. How would they know?
This profession is 90% psychology, which doesn't kick in with paper trading.
Its best to actually trade, but very small size imo.
Almost everyone starts losing as soon as they go live.
Systems traders are not immune to this BTW. They simply stop taking their signals, where as discretionary traders do all kinds of stupid things to annihilate accounts. Revenge trading comes to mind as one of these. Something you'd never do with a paper account.
Its been my experience that most of the people who support paper trading ARE paper traders. How would they know?
This profession is 90% psychology, which doesn't kick in with paper trading.
Its best to actually trade, but very small size imo.
Good points Jayford. You just have to start small and move up in size as you get better. I'm not saying paper trading is worthless, but trading with small lots ( 100 ) in the beginning will do him/her a lot better IMHO. 
Good trades to you all.
Good trades to you all.