Sim VS. Real Money trading

Discussion in 'Trading' started by Jdesey, Jul 19, 2017.

  1. Millionaire

    Millionaire

    I never traded sim. The best way to learn this game is to lose real money, and meaningful amounts of money at that.

    To quote ROASO 'The game taught me the game. And it didn't spare the rod while teaching.'
     
    #11     Jul 19, 2017
    Gotcha, MattZ and Jdesey like this.
  2. Jdesey

    Jdesey

    I think Millionaire just hit it... You can do Sim till the cows come home. But it sure is a much bigger lesson when you are making/losing real money!
     
    #12     Jul 19, 2017
  3. speedo

    speedo

    Sim is useful for forward testing a strategy and developing the confidence to trade it. If you can't show "profitability" in sim then you certainly won't live. But as alluded to, the difference is the emotional divide and the ability to replicate the results live is what separates the traders from the wanna-be's.
     
    #13     Jul 19, 2017
  4. Jdesey

    Jdesey

    "forward testing" ???? how is that done?? Do you have a magic time machine that let's you see the future?
     
    #14     Jul 19, 2017
  5. speedo

    speedo

    Yes, I lease it to mindless newbies.
     
    #15     Jul 19, 2017
  6. speedo

    speedo

    Sim trading IS forward testing.
     
    #16     Jul 19, 2017
  7. Jdesey

    Jdesey

    When anyone asks what super power you would want,,, for me for sure it would be the ability to see into the future
     
    #17     Jul 19, 2017
  8. speedo

    speedo

    And spoil the surprise ?:sneaky:
     
    #18     Jul 19, 2017
  9. Jdesey

    Jdesey

    Well, Invisibility would be pretty powerful as well... but yeah, I am sticking with seeing the future.
     
    #19     Jul 19, 2017
  10. "Forward testing" is simply trading (or auto-trading) in real time, but with paper money. This is to differentiate it from "back testing", in which trading (or auto-trading) is done using historical data.
     
    #20     Jul 19, 2017