On trading a forex demo account

First, let's talk about the positive side of demo trading: it is necessary to use a demo account at the beginning in order to learn how to operate your broker's trading platform and in order to test your trading strategies. If you open a real account right away, you risk wiping it out in a jiffy without learning much really. That is to say, you would pay too much for too little knowledge.

On the other hand, if you demo-trade or paper trade too much you risk acquiring habits incompatible with what a consistently profitable forex trader would do trading his real account. What do we mean? When you trade a demo account, you cannot experience exactly what it feels like to trade a real account. The feelings, the emotions are not the same. What happens if you blow your demo account? Well, you lose nothing. And that's the problem with demo trading. There is no responsibility on your part. Then how can you learn discipline, patience and moderation?