DISQUS

Investing Adventures: Revisit the Paper Trading Concept

  • theWild1 · 1 year ago
    I did paper trading just to learn the basics, but I agree that to really excel to making real money, you need to get in real world scenarios.

    Just like in sports. You can practice, practice, practice, but when game times comes around everything goes faster and looks different.
  • Llama Money · 1 year ago
    I'm on board with paper trading to learn the ropes - for a short period. After a few months of executing trades and watching the effects of your decisions, then it should be time to start trading with real money.

    Just jumping in with cold hard cash without any idea of what you are doing... not so good. Paper trading ( using one of the virtual trading websites ) shows you the jist of how to execute a market or limit order, what the difference is, and how it affects your portfolio.
  • mark · 1 year ago
    I think it just depends on how disciplined you are. If you're not going to treat it as real money then yes it's a waste of time to paper trade. I think people should take paper trading more seriously since trading with your own money will disenchant you really fast when you're losing despite how much effort concentrating you put into it. Also just my opinion but it seems like getting advice like that from a broker to trade a real account as much as possible isn't totally unbiased.
  • Jon · 1 year ago
    If you are serious about trading, I believe paper trading is essential, along with bactesting (if possible based on your strategy). Trade as if it was real money, otherwise of course, it will be useless. However, it will help you work out any problems and start learning on the psychology behind trading. Set yourself some objective and paper trade a similar amount to what you have in your account. Once you are ready start with a smaller amount and build up your account as the months goes. Don't try to go all in at once. If your methods are sound, there will always be another trade and the market will always be there for you, so don't rush. Seems like you have done very weel, congrats, keep up the good trading.