Mistakes Traders Make When Switching From Demo to Live Trading

in its video traders we’re going to look at mistakes traders make when switching from demo to live accounts stay tuned hey guys a very warm welcome to you thanks so much for joining me right so many traders like to train on demo to start off with I get it makes a lot of sense you get exposure to the markets you get the data feeds into your charts you can work out the platform you know you can do all the kind of things that you need to do to work your way around the understand how markets move your brand-spanking-new also to see how to place orders it makes a lot of sense but I’m a big advocate you followed me for a while of going to live as soon as you can even if that’s only having a little bit at risk I’m a big big fan of having skin in the game I believe that you have to have skin in the game to be putting your full effort into in to experience what it’s really like especially the trader in fact guys anything in life you know I’m a big fan of you putting your skin in the game gonna invest in something or invest properly and then a decent manner shares on it you know that all these kind of things mean that you are fully invested in it and you are going to commit to it so that’s why I think that going live quicker or sooner rather than later is better but hey everybody is different there’s no right or wrong if you want to stay on demo for as long as you feel comfortable you do that don’t have any pressure from anybody to say go live you know you want to stay on demo you stay on demo but when we’re switching from demo to live I see a lot of traders make mistakes when doing that and I kind of want to

highlight them now maybe if you’re about to switch from demo to live or maybe in a future you consider it perhaps you’ll think back in this video and go you know what it was a few points there that might help me that’s the idea anyway so the first thing guys is you’ve not been using the demo properly aligned traders will use them a property so they put in the right amount that they’re going to start trading with so let’s say you’re about to start trading with 2 grand 5 grand 50 grand million quid whatever it is you can most the time you ask your broker to set up your demo with a different amount different value most of the time they’ll do that the end of day you want to have the experiences same as possible so if you’re opening up with a 10 run account have a 10-grand n 100 one gram whatever the number is again it doesn’t matter the point is the experience of the same so you used to dealing with the right kind of size for the stress are you employing and then you know making sure you’re not just punching away playing around a lesson that there’s a definite difference here between using demo to developers trust you and learn the market then there is using a demo just get feel for the platform you’re probably not interested in the switch if you’re an experienced trader anyway you’re just switching over to a new broker you’re trying out their platform like a ton platform demos before the channel guys are moved in before we have a look through we stick a few orders in it doesn’t matter what the size is you’re just getting a feel for the order you’re trying to put the order and see where it goes in the blotter how you cancel the order how you replace the order how you close the trade all the stuff is unique to the platform that you’re trading so make sure using the demo properly seconded different strategy from the demo to the live account so you know let’s say a lot of people I’ve seen do this they buy a basket of stocks they look back a couple of weeks and go off and make 50 grand in with them I should trade life you probably wouldn’t have bought all those stocks with that size and left it for a couple of weeks if it was a live account you all need to be trading the strategy that you want to use in a live

environment so maybe you’re using technical analysis maybe using price action may be using any of these things use that in the demo use the same decision-making process that you would do live in the demo now listen you might be saying hey all I want to do is buy a basket of stocks hoping for two weeks to see which ones go up fine if you’re gonna do that doing the demo but do it in alive as well otherwise they’ll have a complete disconnect experience when you go from the demo it’s their life the third thing guys is trading too big to begin with I see this quite a lot people go right I’m going from a demo to live or I’ll call this buying power up decided to commit 25 grand of my savings into trading whatever the number may be okay we go and then like a capsule and go run with a risky at 500 pound this trade 200 pound this trade and before they know it you know that they’ve kind of got hammer because you just market this is the market guys you know we can’t make a profitable trades every single trade and then it kind of knocks some back a bit and every dense the confidence I think that even if you’ve got a bigger pot so you’ve got 100 grand to put in and you want to trade with that just dial it down the size just go really really small you know don’t make a big leap you know just go lit some really be small and trade as small as possible to kind of make that transition of this smoother from no consequences of about rate so some consequences from a bad trade to in a more deeper consequences of a bad trade the other thing I see guys is you know people when they’ve got money at stake you’ll start to check trades more often through fear so before we switch from demo to live just take a note of how many times you log in your second notice how many times you’re out on a value check on your phone or you’re on your laptop or your work or whatever you do how many times are you checking the markets and when you switch to live kind of check it again and keep a track on it and keep tabs on it you might find when you’ve got some skin in the game you change the way the you interact with the market and that’s a negative generally negative thing because if you’re over looking over checking you’re fearful of the result you’re fearful of the market going against you fearful the markets got in your favor and pull back and you have a chance to take profits it’s acts from fit of fear more than anything else and we’ve got some more depth of that and again if you’ve got subscribed you’ll probably know that we’ve talked a lot about how are these kind of things to reaffirm our fear perspective of FOMO perspective revenge trading perspective a complete open up a can of worms they’re talking about like guys but so won’t doing now but you get the idea and the five is a deer in headlights on the drawdown you know when people make this mistake when they go from the demo to the live that zone drawdown and then well you wouldn’t be you wouldn’t care you wouldn’t care you go it’s a grand account it’s down to an off-brand you know what I care if you’ve gone alive you just spying out you’re down to a knife ground straight away you’re going to be up and let’s get our back and it’s got that back so you’ve got to try email why my big fun having some skin in the game or why don’t think we shouldn’t be risking that much straight away you should be just trading very very small you know just getting the feel for it but also again how did you react in demo under those conditions how did you trade and trying to make the experiences similar to live as possible if you know that let’s say Tuesday example you got a 10 grand account you were down two and a half you’d probably be pretty bothered about it if it was pretty quick if you know that then have that experience in the demo as well so that you you know that it’s not such a complete neatly different experience when you’re trading live the six thing goes is an all-or-nothing results focused approach no this is the probably the biggest one is that it’s such a milestone moving from demo to life and trainers go ah is it I’m live now here we go I’m going to make money and it becomes such a kind of lioness sound a chapter and it’s like I’ve gotta make money I’ve gotta make money what you’ve got to think of it well don’t do anything guys with my perspective on this is that try to blend it a little bit better so maybe you go right and we have a small amount in my live account and let me make me do some demo trades some live trades so just to get a feel don’t try to go in and go right I want to try to make the money I’ve made in demo and live it’s a recipe for disaster whereas if you go in and go okay you know what I’m gonna place you know one trade a week one trade a day if you’re more active on my life I’m gonna do some demo as well I may be doing side by side I want to see how feel maybe I’ll do some mother’s on demo as well so make it a little bit more of a blended

experience rather than the mental kind of pressure of going run live now this thing okay I’m gonna do some live trades no expectations on the results because you’ve you summarized some demo but you’re trained so small anyway it doesn’t matter and just try to make it more seamless then as you come more comfortable you just drift off the demo you’re running them in parallel come off the demo completely just like if you’re switching lanes you go into another Lane the demo disappears you’re on the live now small small small and you start to Ratchet it up to where you are so you know less of a jerk like all moving all of a sudden now it’s alive more of a smoother process going from the demo to the live so that your brain gets used to it there’s a lot going on guys when you suddenly start risking money in the markets I changed the way you think it changed the way you approach trade it changes everything so the transition from the demo to the live has to be as smooth as possible and doing these things the world before you do it helps make that as smooth as possible so it’s not such a damaging thing because a majority of people guys if we’re honest about it as soon as they go to live from demo gets smack they get smacked in the face and who ah what happened I was doing okay on demo and they go back to demo and they go back to live and sometimes we were in this thing with a constantly going demo live demo live some acts in the face back to demo

– lies smacked in the face back there demo and try to break that cycle of making it a little bit smoother can be so you can get on a life get on life’s down life keep small keep small keep small build build build build bang and you’re away then so here once your outfit you’re off it for you know and probably go back and remind use it from time to time a bits of pieces but you’re getting on to live just changes the way single bus define everybody that’s it as mistake traders make when switching from demo to live account slipping are your experiences and a comment section below and take your next one bye bye you

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