collapse

Author Topic: difference between demo and real account  (Read 46940 times)

Offline xjonasx

  • Jr. Member
  • **
  • Posts: 60
difference between demo and real account
« on: October 02, 2013, 05:38:48 PM »
Hi there, I managed to complete the EA with a friend that works beautifully on a demo account. I would like to ask how much they are different demo and real accounts with ECN brokers .. the subject's astonishment, therefore I apologize for the new thread. Thank you .. Jonas from Czech Republic

Offline forexbaby

  • Private fund trader
  • Sr. Member
  • ****
  • Posts: 1072
Re: difference between demo and real account
« Reply #1 on: October 02, 2013, 05:42:00 PM »
tons of differences!!!!!

Use small account to test but real acc is better


Offline xjonasx

  • Jr. Member
  • **
  • Posts: 60
Re: difference between demo and real account
« Reply #2 on: October 02, 2013, 05:48:12 PM »
tons of differences? I hoped that the ECN's not much difference: (.. can you tell me some differences, please?

Offline Hans Bowles

  • Donna Lover :D
  • Jr. Member
  • **
  • Posts: 49
Re: difference between demo and real account
« Reply #3 on: October 02, 2013, 06:09:02 PM »
tons of differences!!!!!

I totally disagree.

A simple EA with TP's and SL's over 100's of pips from opening price and no MaxSpread and with a duration of at least 1 hour per trade has ABSOLUTELY no difference.

Offline odysseus11

  • Hero Member
  • *****
  • Posts: 3451
  • Forex Fusion
Re: difference between demo and real account
« Reply #4 on: October 02, 2013, 06:13:02 PM »
actually that depends on the EA and how it operates.

If the EA uses TP and SL of over 10 pips, and if the EA operates on a timescale of greater than 5 minutes in a trade, then the differences between demo and real ECN can be fairly minimal - if it does NOT adhere to those general boundaries, though, the slippage and execution issues will show a HUGE difference between demo and real, even on ECN. I use those boundaries as general safe guidelines in my own opinion, though I am sure others will say that those are conservative
« Last Edit: October 02, 2013, 06:41:12 PM by odysseus11 »
http://www.forexfusion.com
stop gambling. start trading.

Offline Keelto

  • Jr. Member
  • **
  • Posts: 55
Re: difference between demo and real account
« Reply #5 on: October 02, 2013, 06:36:16 PM »
The differences are slippage, execution (speed & fills), stability (disconnections, missing bars, etc), widening of spreads, requotes (depending on broker type), ticks frequency.........just to name a few.
PAMM drawdown will not exceed 10%.

Forex trading should be low risk : high reward not high risk : low reward.

Offline LFN

  • Hero Member
  • Hero Member
  • *****
  • Posts: 1681
Re: difference between demo and real account
« Reply #6 on: October 02, 2013, 06:41:41 PM »
Hi there, I managed to complete the EA with a friend that works beautifully on a demo account. I would like to ask how much they are different demo and real accounts with ECN brokers .. the subject's astonishment, therefore I apologize for the new thread. Thank you .. Jonas from Czech Republic

You can try to copy the trades from your demo to a live account.
MT4i personal Trade Copier is free. Use low lotsizes to check if it is possible.

Offline lupynx

  • Jr. Member
  • **
  • Posts: 59
Re: difference between demo and real account
« Reply #7 on: October 03, 2013, 03:22:47 AM »
Hi there, I managed to complete the EA with a friend that works beautifully on a demo account. I would like to ask how much they are different demo and real accounts with ECN brokers .. the subject's astonishment, therefore I apologize for the new thread. Thank you .. Jonas from Czech Republic
If it's ECN and an honest broker, the only difference should be this:
Demo:
Trades don't really happen. you just paper trade what's on your eyes.
Real:
Currency Exchange really happened electronically. Trade takes place, takes time until a deal, eats up liquidity, moves the market. Therefore, slippages happen. The larger trade size, or thinner liquidity, the more slippage you get.

The problem is, there are just a few honest brokers. So you're very likely to find brokers trying to rip you up. ex: nullifying trade, freezing data feed, spread super widen, live condition differs than demo etc.

Offline Forexrider

  • Full Member
  • ***
  • Posts: 376
Re: difference between demo and real account
« Reply #8 on: October 03, 2013, 06:59:05 AM »
If the targets of tp and sl are very much realistic enough to be managed in a real account with real money, there shouldn't be much difference between demo and real performance.

Offline Okda

  • Sr. Member
  • ****
  • Posts: 639
Re: difference between demo and real account
« Reply #9 on: October 03, 2013, 10:09:08 AM »
I think you have to put in mind the time of day the early will trade, for example is it during fast moving market where will you suffer from huge slippage and wide spreads or not

Sent from my GT-N7000 using Tapatalk 4

Offline SubZeroFX

  • Full Member
  • ***
  • Posts: 445
Re: difference between demo and real account
« Reply #10 on: October 03, 2013, 04:29:13 PM »
Hi there, I managed to complete the EA with a friend that works beautifully on a demo account. I would like to ask how much they are different demo and real accounts with ECN brokers .. the subject's astonishment, therefore I apologize for the new thread. Thank you .. Jonas from Czech Republic

You can try to copy the trades from your demo to a live account.
MT4i personal Trade Copier is free. Use low lotsizes to check if it is possible.

Very good idea... you can also copy trades with SimpleTrader EA: http://www.simpletrader.net/how-it-works.html

Offline seawater

  • Full Member
  • ***
  • Posts: 211
Re: difference between demo and real account
« Reply #11 on: October 03, 2013, 08:24:25 PM »
If the targets of tp and sl are very much realistic enough to be managed in a real account with real money, there shouldn't be much difference between demo and real performance.
Right and of course there is also involvement of emotions in real account so trader should use the stop loss and take profit and practice more and more in demo account so that good profit can be earned from trading.

Offline fxman

  • Sr. Member
  • ****
  • Posts: 653
Re: difference between demo and real account
« Reply #12 on: October 04, 2013, 11:04:41 AM »
It is good if it run well in demo imo. But in real account you can find some difference in result. As most of broker try to proof them honest in demo but not in real. Disconnection, late execution , wide spread can make the difference between result of demo and real. Also if you want to market your EA in near future  you should start building up a real account with good amount of balance and at least six month result.



Offline jeuro

  • Full Member
  • ***
  • Posts: 198
Re: difference between demo and real account
« Reply #13 on: October 05, 2013, 08:01:17 AM »
.
As mentioned by Odysseus the total difference is related to the type of EA  and the way that operates.
But in the conservative side we can always summarize the difference to 2 pips per trade.

That is somewhat overkill conservative but is a good and simple rule.

For example, if the EA makes 200 trades in a month in demo,  deduct the equivalent  of 400 pips from the
 total performance of the EA.

So, if the EA is a scalper that makes 2 pips average,  that EA would be a loser in real account.

Same rule apply for back testing with tick data (99%).  If back-testing with regular data, deduct 4 pips per trade

J.

« Last Edit: October 05, 2013, 08:06:21 AM by jeuro »

Offline mehulsoni

  • Mehul Soni
  • Jr. Member
  • **
  • Posts: 12
Re: difference between demo and real account
« Reply #14 on: October 11, 2013, 02:01:00 PM »
  I think there is lot of difference between Demo and Real account..What ever and how much you do on demo account is for your practice...but you become perfect in trading only after using the live account.Real is real...How much ever you practice in demo account,the soft secure corner in your mind that you are not going to lose your money is going to effect your ability to make on the spot decision.You will become perfect only after facing reality..
Mehul
Forex Pip Maker
http://goo.gl/Tx7DT8

 

browse forum

* Recent Posts

Re: Some signals on SignalStart i am following by diyforexskills
[Today at 10:08:35 AM]


Re: FXOpen AU Pty Ltd - fxopenaus.com - ASIC Regulated Broker by fxopen78
[Today at 07:23:18 AM]


Re: EUR/USD by fxopen78
[Today at 12:15:32 AM]


Re: EUR/USD by Eliza Abrams
[Yesterday at 02:09:21 PM]


Re: Global Prime by jemook
[Yesterday at 06:05:40 AM]


Re: EUR/USD by fxopen78
[Yesterday at 12:36:41 AM]


Re: Forex Adventures by rsmereka
[September 14, 2021, 11:46:03 PM]


Re: Which broker(s) are you using? by drunkfx
[September 14, 2021, 07:52:07 PM]


Re: BROKER PENDING DISCOVERY - DARWINEX by Darwinex
[September 14, 2021, 03:59:44 PM]


Re: EUR/USD by Eliza Abrams
[September 14, 2021, 01:07:18 PM]