The paper trade is widely discussed about its benefits, and whether it is a value for traders when they try to make a real transition to money traders. One point of view is that since paper trade is not real, the benefits mean, and there is no indication of real money profitability. The opposite point of view will state that paper trade is an important step in the development of traders’ learning, and regardless of whether it is real, if the trader cannot be ‘right’ paper trade, then they will not be able to trade real money.
I began to trade in early 1995, with the intention to become an option trader; My first trade education is through OEX teaching selection services. In addition to selected training, services including ‘tape’ reading, trade management and futures SP500 index traded – also included in this service general attitude that trade paper for ‘sissy’.
So I am a new trader, trying to learn and understand concepts and totally new ideas – what is called the trading method and I ‘practice’ with real money – because paper trading is for ‘sissy’. What do I achieve, besides a large withdrawal in my account? I was immediately introduced to trading psychology and related implications – something else I also knew nothing about. Loss of money and trading psychology ‘accidents’, both from losses and thoughts like I was too ‘stupid’ who had learned how to trade, became a combination that brought me out of trade futures, and then unfortunately carried away to my chosen trading I had previously done well with. I just can’t stand it anymore – I have to somehow start from the beginning, or just stop forever.
Paper trade views
Consider: the price of the simulator fills is not real and will not be achieved with real money. Even if this is true, is it really a problem unless the merchant intends to become a broker, trade for a very small profit, and thus each check is very important? Indeed, but it doesn’t have to be an initial trader very selective, focusing on learning their method and ‘best’ setup that the method provides? This will be my point of view, and in paper trade this capacity filling prices will not be a problem.
Consider: Trading is being carried out without risk. No, there is no financial risk in paper trade, but I really haven’t met almost the same as many profitable paper traders as expected. Why does this happen if it can trade without risk is an easy thing to do? Also, what about the risk of self-esteem, and such attitude – How can I be so bad that I can’t even trade paper? A feeling of risk like this may be greater than financial risk, and if they are going to the surface, you will want to meet them before trading real money. Also, even if the problem is only one of the financial risks – you won’t want to start with confidence knowing that you are a profitable paper trade? It will be difficult to imagine losing paper trade can benefit real money trading.
Consider: No emotions involved with paper trading. I was in the chat room we watched the paper trader posting their trade in order for me to give their feedback, and I saw that one of their special plan setups was not done. When I asked why, traders told me that they were in front for the day and did not want to risk their profits. But the advantages are not real – how can you not take the ‘basic’ setup method when paper trading – not that point? Will you agree, that if the profit of paper trading can be seen in this mode, that it has the ability to be very real and thus emotional for traders? I would suggest that this related to paper trade really doesn’t become ‘so easy’, and as mentioned above, the risk of self-esteem can be very emotional.
In addition to such examples, emotions can be added to the paper trading process. Throw away your simulator, and then enter the chat room and post all your trade – no ‘youknowwhating’ ar