I recently saw a poll on renowned trader Edward Revy’s website.  He asked the question, “How long do you plan to trade Forex Demo Account before investing real money?”

The results were as followed:

33% said they would demo trade 1-2 months.

35% said they would demo trade 3-6 months.

17% said they would demo trade about a year.

6% said they would demo trade for 2 years or more.

8% said they had no need for demo.

These were some interesting statistics, largely because the majority of traders fail in their venture. A CEO of a reputable broker was once quoted in saying that he would be surprised if even 15% of his clients were profitable. So what are the other 85% doing that’s causing them to lose money. Well if this poll has anything to do with it, people simply are not practicing enough.

Forex is a serious business. It’s neither a hobby nor a game. It’s a multitrillion-dollar a day industry that can reward you with riches or take every single penny from you. It is sheer folly to think that 8% of traders think there is no need for demo. Knowing the mechanics of placing a trade, and actually pulling a profit from a trade are two different things all together.

If you wanted to be a doctor, you couldn’t just walk right into an operating room and get to work on some guy’s chest cavity. Oh no. Years of education are required even before you are even given the title of “Doctor”. And even after that the education continues throughout the entire career.

Now I’m not saying you need to set aside years of demo trading. But you most certainly need to demo trade before ever risking your money in the market. Demo trading is a remarkable concept. It allows you to trade with actual figures to see where you would stand in the marketplace. Why would you not want to take advantage of that opportunity? The greatest thing about it is that demo trading is free.

Do not fool yourself. Granted, once you have the system in place, demo trading will be greatly reduced. However, you still need to be fully aware of the market. You need to ensure you are placing your trades properly, and more importantly you need to be absolutely certain that you have the discipline to follow all the rules.

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