IndependentInvestor.co.uk Recommends Testing Strategies In Demo Accounts

Online, October 7, 2012 (Newswire.com) - Spread betting and financial trading guide IndependentInvestor.co.uk has said that taking the time to test new strategies through a demo account was advisable as a means of establishing what works with the markets in a risk-free, stable environment.

Demo spread trading accounts, which are usually available free from spread betting brokers, allow traders access to trade the markets with 'virtual' stakes and 'virtual' capital, allowing a realistic trading experience without the sharp downsides of leveraged trading. This makes demo trading a safe, risk-free way to test and tweak trading strategy.

By testing new techniques and trading styles in demo markets before risking capital, traders can more readily hit the ground running when their own capital is at stake, and be better placed to make more profitable trading decisions as a result of their experience, according to IndependentInvestor.co.uk.

A spokesperson for IndependentInvestor.co.uk said that all traders should think about using demo accounts as an ongoing practice tool, to provide a safe, sandbox environment in which new techniques, tricks and strategies can put to the test without fear of loss or capital damage.

"Trading through a demo account creates the optimum conditions for testing and tweaking your trading strategy. Free from the usual risks and concerns about potential leveraged losses, demo trading allows you to more thoroughly explore and test new techniques before taking them to your account for real. As part of developing your trading repertoire and becoming more accomplished in the markets, the use of demo accounts is highly encouraged as a practical, realistic training tool."

"Available through most brokers free of charge, virtual accounts are a must-use tool in becoming a better trader. At IndependentInvestor.co.uk we recommend traders maintain close ties with their demo accounts and use them regularly to trial new ideas before risking capital, to ensure processes are familiar and results more predictable through experience in risk-free, demo markets."

About:
Spread betting resource site IndependentInvestor.co.uk is committed to providing spread betting traders of all stages of success with tips and strategies for making more from the financial markets. Covering a range of trading topics, different strategy types and knowledge areas, IndependentInvestor.co.uk provides everything traders need to know to build a profitable, sustainable trading account.

In addition to advice and guidance for traders looking to improve their spread betting fortunes, IndependentInvestor.co.uk also provides comprehensive broker reviews, comparisons and tables demonstrating the pricing and service levels on offer across the market, making it easier than ever before for traders to identify the cheapest deal.