Totally agree with on that…
I love your post and many truths have been revealed.
I personally recommend live account even if it is with $10.
I know it doesn’t give confidence to investors that is the reason some traders I discussed prefer to use Demo Accounts to show bigger returns.
To my knowlege this is the only reason for Traders on Demo accounts because if Investor instead of searching pips, search from dollar earned, $10 live account trader will never come in the list to get attention of the investor.
There is 2nd reason which is psychology part. Many of traders struggle trading live money and are successful on Demo. I personally know couple of dozens.
I felt very hard to make living out of forex till I tricked my sub constious mind with trading only on $1130 account and putting my 8k account on personal trade copier.
This way I was successfuly stared making a living from trading as sometimes drawdown went to 10% of the account when we have multiple positions but it did not triggered my emotions of seeing -negative balance of $500-$1000 on my main account. Rather I had on subcautions mind running loss or closed loss of $70 whereas last week i made 1k or 1.5k etc.
I will give you example of today. I forgot about the GBP Red News Retail Sales and I was long in 2 GBP Positions with 15 pips SL. by the time I realised, both closed showing negative $63 plus commision on account (during news both closed negative 30 pips due to high spreads.
My psychology was perfectly fine as it was small amount and consciously knowing the total loss of around $850 did not trigger psychological issues like revenge trading or FOLM, FOMO out. Analysed news, watched the price action and took few trades ending my day with profit of $40 on small account $313 on big account and $32 on the Zulu account.
Why seperate account for Zulu? I have written a different post explaining the reasons.
I have attached all statements here to give you a valid reasons in my eyes to trade on demo or small account to keep psychology in control .
Hope this will help many in reforming their strageties and start looking traders from different view.
Wish you all the success.
Navdeep Singh Rajpal