Trading simulation is a technique that lets you try out trading in order to develop strategies and grow your investment. To save time, it is best to run your online trading simulation directly with the broker that offers the market you want. In this article, discover the details of this process so you can understand and master online trading.
How Do You Open a Trading Simulation Account?
Once you are ready to practice trading, you need to open a demo account with a broker. Here are the steps to follow to open a demo account with the brokers Vantage, eToro and Axi.
If this topic interests you, also read “Stock Market Simulation” and “Free Trading“.
Opening a Vantage Demo Account
- Go to Vantage and click “Demo Account“
2. Fill in the Vantage registration form and click “Open a Demo Account”
3. Enter your personal details on Vantage and click “Next”
4. Set up your Vantage trading account (MT4 or MT5, account type – Standard STP to get the bonus, account base currency) and click “Next”
5. Confirm your identity and place of residence by uploading 2 supporting documents to Vantage and click “Next”
Opening an eToro Demo Account
1. Go to eToro and click “Join Now”
2. Fill in the short eToro form to create your account and click “Start Trading”
3. To use your eToro account securely and access all its options, verify your account by clicking “Continue”
4. Read eToro’s terms and conditions and privacy policy before confirming your details
5. Answer the eToro questionnaire and verify your identity
6. Click the “Sign Up” button
The Best Stock Market Simulators
In recent years, trading has attracted many people, particularly for trading simulation. It is an interesting, income-generating activity once you master it. To run a trading simulation, you need to use a broker. The table below gives information on the best brokers you can turn to.
Broker | Maximum leverage | Demo account duration | Minimum deposit on a live account | |
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 | 1:30 | 30 days | $1,000 |
The table above shows that each broker has its own specific conditions. Some brokers offer an unlimited demo account, while others limit it to 30 days. For free online trading simulation, it is up to you to choose the account that suits you best.
Trading Simulation by Market
Stock market simulation differs across several specific markets. Depending on the type of market, traders can:
Trade Stocks on eToro
With the eToro demo account, you can learn trading simulation while being exposed to real market price movements. With its commission-free trades, you can experience the emotions of trading and improve your strategies. A free trading simulation account with 0% commission also gives you the chance to use a virtual portfolio to train before moving on to real trading.
In addition, one of the features that makes eToro the best stock market simulator is that you have nearly 800 stocks available to trade. Whatever your trading level, you can invest in fractional shares. This lets you decide the amount to invest regardless of the current share price of the stock you want. With eToro, you can run a stock trading simulation.
When trading stocks, traders benefit from certain advantages, including:
- Being informed about market events and volatility through notifications
- Free access to professional traders’ stock analysis
- The ability to buy fractions of shares.
Trade Forex on Vantage
If you want to invest in Forex trading, the simulator with the right qualities is Vantage. With its demo account, you can enjoy the performance of its interbank RAW ECN spreads as well as its high order execution speed. It is Forex trading simulation software that gives traders access to the international Forex markets through its high-quality FX liquidity providers.
By combining all these advantages, Vantage offers its clients a professional-level trading experience. They can run simulations on a wide range of assets with negative balance protection.
Even more interesting, the broker works hard through its support service to stay close to its clients. As a result, it is easy to access and can be used on any device.
Simulation by Type of Trading
There are several types of trading, including manual trading and social trading. Stock market simulation therefore varies depending on the type of trading you have chosen.
Try Social Trading and Copy Trading with eToro
Copy trading and social trading are eToro’s trademark. Social trading means investing by referring to what other clients think. eToro has developed new strategies to make the financial markets easier to access and to let you simulate safely and with confidence. To provide a smooth simulation experience, eToro broadens its horizons with its tools, including active social channels, in order to stay close to its clients.
With its copy trading technique, you can observe other traders’ approaches and copy their investment methods. To find results, you can use the search bar. The eToro simulator offers several criteria to consider when choosing which trading strategies to copy, including:
- Gains
- Risk level
- Location.
All traders who can be copied have profile information. This helps you choose the right trading strategies to follow to build your own portfolio. eToro is also fully transparent to support its clients properly in this difficult type of trading. This broker lets traders run stock market simulations on countless financial markets, including commodities, currencies, ETFs, stock indices, stocks and cryptocurrencies.
For simulation, eToro also offers its CopyPortfolios and CopyTrader tools, enhanced social trading offerings. This makes it an excellent choice for a profitable simulation. It is a highly sought-after, reputable, regulated and well-established broker, and it is easy to use for social trading and copy trading.
Try Manual Trading on Vantage
For the best stock market simulation in manual trading, the Vantage simulator is the most suitable. This is the type of trading beginner traders need most. It requires maximum focus on the market. It lets beginners choose for themselves the level of risk they want, and they can choose the right moment to open or close their positions.
That said, this type of trading suits a certain category of traders who already have established strategies and a feel for the market that will help them make better investments. Manual trading can generate significant gains for traders who constantly immerse themselves in market movements.
However, it requires great patience, discipline and sound judgment. Its main advantage is that it brings the market’s movements to the fore. Traders can therefore prepare to face the stock market as if they were trading for real. On the other hand, with this kind of trading, the trader’s emotions can sometimes lead them astray, causing them to open or close positions at the wrong time.
It also demands a great deal of attention and time. You will need to monitor market movements all day long to determine the best times to invest. Otherwise, you will miss out on the best opportunities.
Simulation by Time Horizon
You can apply your stock market simulation according to time horizons. By identifying your simulation method, you will be better able to determine which broker suits you. In terms of time horizons, there is long-term trading and short-term trading.
Choose eToro for Long-Term Stock Investing
For long-term stock market simulation, the best broker is eToro. This broker has plenty of long-term simulation instruments, such as US stocks and CopyPortfolios. eToro’s CopyPortfolios fall into three categories:
- Market CopyPortfolios
This trading instrument groups together all the assets that match the chosen method. Long-term trading professionals can easily find their way among the 800 stocks offered by the broker. Note that eToro is a very competitive simulator on certain products, such as US stocks.
- Partner CopyPortfolios
Partner CopyPortfolios include financial institutions from around the world. Long-term traders can therefore be confident of reducing their trading risks. Investors also have the chance to develop new growth methods while making the most of copy trading.
- Top Trader CopyPortfolios
This type of CopyPortfolio brings together eToro’s experienced traders. Long-term stock traders can follow their methods while developing their own. In addition, given the uncertainty of stocks, they can rise or fall at any time, so using this instrument is important to limit risk.
Diversifiez votre patrimoineInvestissez dans l’artDes tableaux originaux, pièces uniques signées par l’artiste. Un actif tangible, loin des écrans et des cotations.Voir les tableaux →Choose Vantage or Axi for Short-Term Trading
The go-to brokers for short-term stock market simulation are Vantage and Axi. Short-term trading generally spans a short period ranging from a few hours to a week. It suits beginners looking for fast execution. However, before getting into short-term trading, it is very important to be well informed so you are not caught off guard by market realities.
Before making your choice, you should know that there is more than one kind of short-term trading. Your choice of trading simulation will depend on the timeframe you want. You can choose between H1 and M15. With H1, your position can stay open all week until Friday evening. With M15, on the other hand, you can only keep your position open until the evening of the same day.
Within these two approaches, there are three trading styles you can use in your simulation. These styles differ from one another, even though they all belong to short-term trading.
- Day trading
This trading style requires a lot of quick decision-making to follow price movements optimally. Positions are closed by the end of the day. Price changes on the market can generate profits for you, but they can also lead to large losses.
- Scalping
A trading style that lets traders profit from small price changes. Positions are open for only a few seconds or a few minutes at most. With this style, you mostly aim for many small profits in order to maximize overall returns. Its main drawback is that it is very time-consuming. You also need to monitor the value of your positions to determine your risk/reward ratio.
- Swing trading
This is the longest of the short-term trading styles. It can last from a few days to a week or more. Its advantage is that it lets traders pick their asset and invest in both the upswings and downswings of the same move. Traders rely on technical analysis to find the best opportunities.
Simulation by Mobile Device
Stock trading simulators work every day to satisfy their clients. To that end, they let you use your trading simulation software on several types of devices through mobile apps.
On Windows, you will find stock market simulation apps such as Vantage, Axi and eToro. These apps let you use trading simulation software whenever and however you like. On Mac, you will also find trading simulation software such as eToro. These brokers let traders simulate with their tools at any time. To save time, you can also use these simulators from your phone.
Stock Market Simulation by Platform
Not all traders use the same trading platforms for stock market simulation. They use the platform that suits them best. Several platforms rank among the best for trading simulation, including eToro, ProRealTime, MetaTrader 4 and MetaTrader 5. Discover the features of each trading simulation platform to help you make the right choice.
MetaTrader 4 and MetaTrader 5
MetaTrader 4 and MetaTrader 5 are trading platforms with advanced analysis tools. They have been among the leading platforms for more than 10 years. They are extremely powerful and are used by many brokers to offer their clients high-quality stock market simulation services.
Although MetaTrader 4 and MetaTrader 5 are both powerful platforms, there are some differences between them. Here is a table to help you understand the difference between these platforms.
Platforms | Programming language | Number of pending order types | Number of execution types | Ease of use and navigation | Analysis tools | Number of indicators | |
 | MQL 4 | 4 | 3 | Very easy | 33 | 30 | |
 | MQL 5 | 6 | 4 | Slightly harder | 68 | 38 |
Beyond their features, these platforms offer many advantages. First, they are free and easy to get started with. A trader who wants to run a crypto market simulation can do so without difficulty. Whether for crypto trading simulation or a simulation on a French online broker’s platform such as Boursorama, every trader will find what suits them.
Second, MetaTrader 4 and MetaTrader 5 let you simulate on many financial markets. Whether Forex, commodities, stocks or indices, traders can try out every market to find the one that best meets their expectations.
Finally, what makes them quality platforms is that they go wherever you go. They can be used on all types of devices. Whether you want to use a phone, Android, tablet, Windows or iOS, you can download the trading simulation app wherever you are.
xStation
xStation is one of the best platforms for stock market simulation. Used by the broker XTB, it offers many useful tools for trying out the stock market. Trading on this simulator is also easy thanks to its execution speed and quality.
Awarded in 2019 for its fast execution, the xStation platform makes the stock market accessible to both beginner and professional traders. It offers more than 4,000 instruments such as Forex, indices, global ETFs, cryptocurrencies and commodities. This gives every trader the chance to practice on new markets and improve the strategies that will later help them avoid losses on the stock market.
In addition, the platform, which has more than 15 years of experience, lets you follow how the market evolves with its advanced charts. Traders can also close their positions in a single click, so you can open or close a position at exactly the right moment.
Finally, the xStation platform lets traders use advanced charts to keep better track of limit orders, pending orders and market orders. You can therefore place orders directly on the platform, making investing faster and smoother.
Note that the stock market simulator includes a tool called a trading calculator. This calculator shows the losses or gains for each position, helping traders stay in full control of their trading.
The platform is available on several devices and can be used on all types of hardware. Whether on a tablet, phone, Mac or Windows device, you can follow market prices while going about your other activities. In other words, you can simulate on the stock market wherever and whenever you want.
eToro
eToro is a trading platform renowned for trading stocks and cryptocurrencies. It is used by the broker eToro, which offers many features to traders who want to get started in the world of the stock market. The simulator provides its clients with services of undeniable quality.
The platform offers traders a demo account in line with the rules of financial bodies. This demo account lets you simulate on the stock market just as you would on a live account. The difference between the two accounts is small, especially since they have the same limits.
When you choose the eToro stock market simulator, you cannot invest more than 20% of your capital in a single trade. In addition, you can only follow about ten traders at a time. These rules help you develop methods, improve, and react like traders with a live account. You can also run crypto simulations there.
Better still, the eToro stock market simulator is convenient for everyone. Besides the free demo account, the platform lets traders of all levels become familiar with the financial markets and the stock market. In addition to unlimited time to simulate, eToro also tops up your demo account in less than 48 hours when the portfolio’s capital is used up.
The only problem with this platform is that it does not make traders aware of the risks on the stock market, since they do not fully appreciate the possible risks. Trading with virtual money, they face neither the stress of losses nor the pain of running out of money.
eToro supports its clients with online training sessions. Although practice is the ideal way to gain experience, theory remains important for understanding the basics of any field.
ProRealTime
ProRealTime is the leading French reference platform for stock market simulation. Having executed millions of real orders in recent years, it offers a large number of charts, reliable market information and unique analysis tools.
It is a platform with many features that are attracting more and more French traders. ProRealTime gives traders a trading simulation app with more than 100 built-in technical indicators.
It also lets you create your own indicators with a programming language called ProBuilder, one of the best languages in its category. Even more impressive, the ProRealTime platform comes with advanced modules, the main ones being:
- ProRealTrend
This module automatically draws horizontal and diagonal trend lines to highlight support and resistance levels.
- ProBacktest
Also known as backtesting, it helps traders build trading models and understand how they behave on historical data.
- ProOrder
The ProOrder module is used to run ProBacktest trading systems in live trading, using server-side order execution.
- ProScreener
This module performs complete scans of financial markets in live trading.
Beyond its high-quality features, the platform offers many advantages that make it well suited to stock market simulation.
First, the ProRealTime platform lets traders organize their orders and positions visually. It allows them to open positions with a single click on the charts, a practical way to stay focused and keep track. Open positions and pending orders are also shown on the charts.
Second, ProRealTime lets you use a variety of order types, including simple orders used for a diagonal (trend line) order or a fixed price level.
Finally, the platform lets traders using the stock market simulator place protective orders. Importantly, ProRealTime also lets you practice on many financial markets, such as stocks, currencies, ETFs and futures. The ProRealTime platform is secure and lets you simulate trading assets safely.
How Much Should You Deposit to Simulate?
To learn and trade on the stock market, you necessarily need to invest a certain amount. In some cases, traders can invest the virtual money available in the simulation account. In other cases, traders may invest real money to develop their methods while experiencing the real emotions of a live account.
If It’s to Learn, Deposit as Much (Virtual) Money as You Like
When you open a demo account, the broker gives you a virtual portfolio. The amount depends on the stock market simulator the trader uses. This capital lets you simulate on the stock market as you would on a live account, except that the capital invested here is virtual.
This approach allows traders, especially beginners, to adapt to this new reality, understand it and interact with it. You should therefore use this money in an organized and intelligent way to prepare for the stock market under real conditions. You also need to choose your time horizons and investments carefully.
Trading on a stock market simulator helps you build knowledge. It is essential to keep certain principles in mind to protect yourself from unnecessary risks once the trading simulation is over. While some stock trading simulators offer unlimited time, others are limited to one month.
You therefore need to make smart decisions so you don’t run into difficulties when the time allowed runs out. You can also try the FXCM Trading Station simulation mode for more experience in the field.
If You Already Have a Strategy, It’s Better to Trade Real Money
Stock market simulation does not require a fixed amount. However, depending on your expectations, you may decide to trade with small amounts of real capital. This technique helps develop trading strategies alongside practice on a demo account.
The most appealing thing about investing real money in a simulation is that you will be much more alert to market movements. The faster you learn how to manage your capital, the faster you will reduce your risks. When you invest real money, your emotions are stronger and you learn faster and better.
Stock market investing should also match your means. Keep in mind that more capital is not the ideal choice for a stock market simulation. The ideal is to start with small amounts. If you want to master another asset, simply invest a small amount to see how its price moves. To better understand prices, you can also opt for the Montreal Exchange options trading simulation.
Let’s take an example. Using a stock market simulator, if you invest capital of $100 with 1:50 leverage, you could make a gain of $250 if the stock market rises by 5%. Otherwise, you will make losses equivalent to your stakes. This technique helps you refine your trading strategy. If you want to earn big, it is better to switch to a live account.
Advantages
Stock market simulation has several advantages for traders who want to master the stock market before trading for real. Among its advantages, trading simulation lets you:
- Run a trading simulation without taking risks
With stock market simulation, traders can invest as they wish without being exposed to the risk of losses, because the simulation uses virtual money. Whatever the market does, the trader has nothing to worry about, since no real money has been staked.
- Test the financial markets
Stock market simulation gives traders the opportunity to take positions on several markets. It provides access to many financial markets such as indices, Forex, stocks and cryptocurrencies. Traders therefore have a wide choice for practicing and finding their favorite market.
- Test the stock market tools
The stock market offers many tools for developing strategies and becoming a leader in trading. A stock market simulation gives you access to all of them so you can get familiar with each one. Mastering these tools will help you recognize the right moments to enter or exit a position and avoid as much risk as possible.
- Test your skills and assess your level before trading for real
Since the stock market is volatile, there is no sure way to know your level of skill. It is therefore advisable to use stock market simulation. That way, you will know whether or not you are ready to start real trading, or whether you still need time to better understand the stock market.
- Access several stock markets
Stock market simulation helps traders invest in many markets and gives access to a large number of stock exchanges, including Luxembourg, London, Montreal and Paris. Traders can therefore simulate on these different exchanges and train better, so they are ready to face the real market without being caught off guard.
- Identify the assets with more value that are easy to trade
Stock market simulation helps you explore the financial markets and get familiar with them. Given the large number of assets available, traders can practice finding the asset that suits them.
- Train so you can move on to real trading
Theory is certainly important for understanding the basics of any field, but you also need practice. It is the most important step. Simulating on the stock market puts you in front of real practice and lets you apply everything you know. By practicing, you improve your skills because you better understand how prices behave. This is an important advantage, since you simulate as if you were trading for real.
- Simulate on any device
To stay close to their clients, brokers let you simulate whenever you want. Stock market simulators are available on several types of devices. Whether on a Mac, phone, iOS, Android or Windows, you can run a trading simulation. All you need to do is download the required app. It can also be done in a web or mobile version.
Disadvantages
Despite its many advantages, stock market simulation also has drawbacks. It is important for traders to take them into account before getting started. Trading simulation has the following shortcomings:
- Trading fees are overlooked
Most traders using simulation think only about measuring their performance and overlook the fees that can hurt their trading results. These fees include transaction and account maintenance fees set by the broker and the spread between the buy and sell price of the underlying asset.
- It does not help you understand market sentiment
Trading simulation is done on a stock market simulator with virtual money to better understand the stock market. It is a big advantage since there are no losses, but it does not let traders understand the emotions of the market. In real trading, every price movement can trigger emotions such as joy, stress, anger and many others.
- Poor management of investment capital
During stock market simulation, few traders take the time to always calculate the risks they are running. They often don’t bother to define money management rules because, whatever happens, they have nothing to lose. Since it is fictitious money, they invest without considering certain factors, which is not the case when investing in real trading.