Trading Simulator vs Forex Demo account

We compared our Forex trading simulator and demo account. The bottom line was that for practicing trading, simulator is much more efficient use of your time.

forex trading simulator 1.0
Forex Trading Simulator 1.0

First of all, demo account only works when trading is on, i.e. basically workdays.

So you have no choice when to practice. If you have a day job, your options are limited.


More importantly, you can’t practice on weekends and holidays, when you might have most time to spare.

With our trading simulator, this restriction is obsolete. It uses monthly files of  tick-by-tick historical market data. You can download data since 2009 for 15 main currency pairs. What is also important is that this real tradeable data is free.

Additional time saving you get with such handy features as:

  • simulation pause and resume
  • fast simulation mode (2X and 4X)

Pause/resume is very useful when you get interrupted during your practice. With the simulator, you can continue from where you left off once you are back. This is obviously just impossible with a demo account.

Fast simulation is a very helpful feature. Sometimes the markets are just not moving. With the simulator, you can fast forward to the time when there is some action. With a demo account, you have no choice except to wait – in real time.

Next releases of the trading simulator will add much more features that will make the simulator advantage over a demo account even bigger.

Trading Simulator 2.0

A demo account is always in live mode. The only thing you can choose is a currency pair. In trading simulator, you can use both historical data, and live online feed.

Due to inbuilt data recorder,  in Simulator you can pause in live data mode, The quotes will be saved locally for the time of pause so that you won’t miss anything when you have time to resume practicing.

Demo account feeds the quotes in real time. Which can be really slow and boring at times, when you can wait the next quote for over a minute. The Simulator (in historical data mode, of course) , can improve efficiency again with fast data feed.

And with live mode simulation, you can also have slower data feed! This possible due to data recorder. It is a handy feature while practicing news trading. And of course, you can always return to the current time.

In all time scale transformations, the order operations are fully functional.

Simulator also makes practicing more interesting by enabling elements of competition. In a multi-user mode, you can run several copies of the Simulator, where one becomes the trading server for others.

Moreover, in a single-user mode, you can have “trading competition” with inbuilt automated trading strategy.

For individual practicing and for competitions alike, you can review and analyze the past trading performance using the trade recorder and trade player. They allow saving all trading activity and then showing any time moment with desired speed.

Trading Simulator Or Real Trading?

We need to understand that neither trading simulator nor demo account can replace real trading practice. It is all about psychology.  Your trading decisions might differ drastically when you are betting your real money.

On the other hand, practicing trading for real money from day one is not the best approach either. Drawing an analogy, you can quite efficiently learn how to swim by jumping from the bridge. But most people might find this practice too stressful. And not even worthy the outcome.

So the trading simulator (and demo account as well) is most beneficial for beginners. The less trading experience you have, the faster you gain skills. However, you might find it useful later as well.

Download Forex Simulator  

Note for our subscribers:  you can find the download link in our regular emails.