You may have heard about XM broker, right? They should be hearing some good things as well as bad stuff right now. And you don’t know what’s true and what’s not. Well, in my opinion, the best way to make sure is that you try out XM for yourself. “But Mr. Draghi, I could lose money when try trading there.” That’s what you’re thinking now, right? Actually, there is a free way for you to do it. That is using XM demo account. With XM demo account, you can try as many things as you’d like to know about XM without paying anything. In this article, I will analyze the strengths and weaknesses of XM demo account for you. To know more about XM, read our XM reviews.
Advantages of XM demo account
Yes, everything on this demo account is free. It’s a demo, so of course it has to be free. The main purpose of this account is for you to decide whether this broker’s features suit your trading strategy and needs. Therefore, it has to be free.
Real life trading conditions
You will get to experience what to be like trading in a real market. Everything works just like how it would in common forex conditions.
Great practice opportunity
XM demo account doesn’t have a time limit. You can open this account for as long as you like. This is a really good chance for you to get used to the features of the forex platform, such as opening or closing a position, set up Stop Loss, Take Profit… The more you are used to the platform, the faster you can perform in real life. In this market, time is money. In my opinion, this feature is the best.
Unlimited forex strategies
Since this account is free and unlimited, you can try out new strategies that you’ve come up with here. You may think of a new trading tactic and want to test its profit rate and risk score but don’t want to spend too much on it. XM demo account is a great place to do that. With this account, the possibilities are endless.
Check out the best forex trading strategies for beginners.
Disadvantages of XM demo account
There are always two sides of the coin. Although there are many advantages, you shouldn’t stick to XM demo account for too long because
You’re using virtual money to practice, so anything you earn is also unreal. Spending too much time practicing and realizing you haven’t made anything can be a bad influence to your will.
No real risk
Since everything in this account is free, you cannot have the sense of being afraid to lose your money. That can lead to the fact you don’t learn risk management, which will affect heavily and negatively your trading career in the future. Risk management is one of the most important qualities of a forex trader.
Therefore, my advice is that you should only use this account to get used to the platform and features or try out new trading strategies. After that, you should switch to the account made for beginners, Micro account, deposit a few in it, and then start trading in real life conditions.
Now, let’s open an XM demo account and practice.