Understanding the Forex Demo Contests and Tips to Win

Novice traders usually get afraid to invest money in forex trading. Therefore, they tend to search for a reliable broker. Brokers also want to gain trust first. Therefore, brokers arrange forex demo contests for free for potential traders. Traders do not require to put any money to participate in a demo contest arranged by the forex demo contests brokers. But they surely need to have the basic trading skill; else, their winning chances may diminish.

Anyone can join a demo contest whether you are a new or even a vastly expert trader. You may choose any broker if you don't wish to invest real money, but if you are firm about investing, you should look for the best forex broker that offers a demo contest.

That being said, we will take you through the ins and out of forex demo contests so that you can get a clear idea about everything before joining the contest.

Understand the Forex Demo Contests

Demo contests usually come out with a great opportunity for the traders as they can check their trading skills for free. Besides, they can learn forex trading from scratch too. A demo contest is typically the opposite of a live contest.

Although it is newbie-friendly, sometimes pro traders also to the forex demo contests to check the broker.

How does a Demo Contest Work?

The idea of a demo contest is pretty simple. Whenever you find suitable forex demo contests brokers, you will sign up and ask for participation in the demo contest while registering. After that, the broker will approve your account, and then you will be eligible to trade. But before that, the broker will provide you with some virtual money, which you can use to participate in the contest.

How much virtual money you are getting in your account depends on the broker itself. Each broker has its own rules and policies while conducting the demo trading contest. Hence you should check the details before going for the demo trading contest.

Once you get your account refilled with the virtual money, you are ready to start the trading. The more money you earn from trading, the more your winning opportunity increases. However, you can never withdraw any money from your demo contest account.

If you win a contest, you will be eligible to get the prizes allotted for the winners. The prize can be anything from cash to a premium account with real money.

Best Forex Brokers List 2023

RANK	VISIT BROKER	REGULATION We only list licensed brokers that comply with the requirements of prominent regulatory agencies.	MIN DEPOSIT The minimum amount you need to deposit in order to start trading.	DEPOSIT BONUS	RATING	MAX LEVERAGE Leverage refers to the ratio of securities you can buy for a given payment. The higher the leverage ratio, the higher your buying power (and the higher the risk). For example, a leverage ratio of 500:1 means you can purchase 500 securities, but only pay the equivalent of 1 security valuation. The leverage ratio offered can vary depending on the experience level of the trader.	PAYMENT SYSTEM	SUPPORT	START TRADING
1		ASIC, CySEC, FSP	$100	No Bonus	99 Read Review	1:500		Telephone: +44 28 2544 7780	Open an Account More Information
Pros Excellent education tools Low forex fees Fast account opening Easy funding methods Cons No bonuses Platforms & Devices READ FULL REVIEW
2		ASIC, CySEC, FSA, SCB	$200	No Bonus	94 Read Review	1:500		Telephone: +248 467 19 76	Open an Account More Information
Pros Low forex fees Fast order execution Analytical training materials 90+ instruments Cons Slow live chat support Non-EU traders don’t get investor protection Platforms & Devices READ FULL REVIEW
3		FSA	$0	No Bonus	92 Read Review	1:500		Telephone:	Open an Account More Information
Pros 9 base currencies 24/7 technical service Direct market access VPS, FIX API, copy trading Superior trading conditions Cons No negative balance protection Withdrawal fees Platforms & Devices READ FULL REVIEW
4		FCA, CySEC, FSCA, SCB	$100	No Bonus	91 Read Review	1:100		Telephone: +44 (0) 203 151 5550	Open an Account More Information
Pros Excellent customer service Free deposit and withdrawal Negative balance protection Wide range of platform Cons Inactivity fee High Trading Fees for some CFDs Platforms & Devices READ FULL REVIEW
5		ASIC, FCA, CySEC, SCB	$100	No Bonus	90 Read Review	1:500		Telephone:	Open an Account More Information
Pros Fully digital account opening Low forex fees Research tools Free Education Resources Cons No bonuses Platforms & Devices READ FULL REVIEW
6		ASIC, CySEC	$1	100%	90 Read Review	1:3000		Telephone: +35 7251 23212	Open an Account More Information
Pros No withdrawal fee Low stock and stock index CFD fees Negative balance protection No inactivity fee Cons Average forex CFD fees No PAMM accounts Platforms & Devices READ FULL REVIEW
7		ASIC, CySEC, FSC	$5	Up to $5000	88 Read Review	1:1000		Telephone: +501 223-6696	Open an Account More Information
Pros Low withdrawal fees Great educational tools Wide range of leverage Multilingual customer support Cons Non-EU traders don’t get investor protection Lack of weekend customer support Platforms & Devices READ FULL REVIEW
8		FCA, DFSA, FSCA, FSA, CMA	$5	100%	85 Read Review	1:1000		Telephone: +44-2030978571	Open an Account More Information
Pros Low spread Controlled by several regulators Numerous deposit and withdrawal Favorable trading conditions Cons Few account currencies Only USD or EUR as base currencies Platforms & Devices READ FULL REVIEW
9		ASIC, FCA	$0	No Bonus	78 Read Review	1:500		Telephone: +61 2 9965 5830	Open an Account More Information
Pros Automatic insurance coverage Low entry threshold Fully digital account opening Low forex fees Cons Limited research tools Only forex and CFD trading Platforms & Devices READ FULL REVIEW
10		FCA, ASIC, DFSA	$200	No Bonus	75 Read Review	1:500		Telephone: +1786 628 1209	Open an Account More Information
Pros Digital account opening process Seamless deposit and withdrawal Attractive trading conditions No inactivity fee Cons No cent account Few analytical materials Platforms & Devices READ FULL REVIEW

Basic Rules by the Forex Demo Contests brokers

Though we have mentioned earlier that each broker can have their own rule, which may vary from other brokers, but there are few basic rules that are the same by all brokers for all the contestants. Following are some of the basic rules.

• The broker shall clarify the competition rules.
• All the participants will get the same balance to start the contest. However, the balance may vary on brokers itself.
• Brokers may not allow multiple participants from the same IP.
• A single user may not have multiple accounts for the same demo competition.
• Forex demo contests brokers may not allow a trader to withdraw from the competitions. However, it may vary on the broker.

These are the common ground rules you may keep in your mind. Nevertheless, these cannot be firm but won't harm you, keeping these in mind. Apart from the rules, you should keep in mind to check your intended broker. You can check out our forex broker reviews to judge a broker's reliability.

Benefits of a Demo contest

Since you don't need to put any sort of real money, you may find everything as benefits. Still, we found some core benefits that can encourage anyone to join in a demo contest. Check out the following benefits to enlighten yourself.

• Beginners can understand the psychology of forex trading, which ultimately covers the substantial forex knowledge on everything such as forex pairs, forex trading platforms, instruments, leverage, and more.
• It can be the first step to the forex world, and you can understand real forex trading without risking your money.
• Understand the real market and get updates on that.
• A trader can test their strategies for free of cost. Testing a strategy with real money can incur huge losses if the strategy is failed.

Last but not the least, you are getting an opportunity to earn some free money out of the forex demo contests.Ways to pick the correct demo contest

A broker may offer demo contests in different categories. Therefore, blindly joining any demo contest will not get you the ultimate benefits. Hence you will require to select the right demo contest to get the definitive benefits.

You can check the offered instruments, the number of participants, charges and fees, leverage, and other trading-related terms and conditions to pick the correct demo contest. Besides, you can also check the prizes and trading hours. However, you can also check the trading platforms. Usually, MT4 and MT5 platforms are the most popular ones. So, you can sign up with the MetaTrader 4 forex brokers as well as MetaTrader 5 forex brokers.

Contest Prizes

Usually, brokers offer real tradable money in the winner's account. Some may also offer cash benefits which the winners can withdraw. So, know the available prizes before you proceed with the forex demo contests.

Tips to Win a Demo Contest

Although traders will trade with free virtual money, they will get the real competitor. Hence few tricks may increase the winning possibilities for a trader. You may go through the following list to win a forex demo contests. 

• Take everything easy and be positive about trading. However, you are investing a cent, so stay calm and quiet during the trading process.
• Keep your eyes open and keep the mind attentive at any stage. This can eventually help you to make decisions while trading.
• Take each decision and trading seriously, even though you are trading with free money. This kind of trading habit will definitely enhance your confidence while trading with real money.
• Start the trading after other participants order their trade. You can set your goal after seeing other contestant’s trade.

This stuff can get you a win in the forex contest.

Final words

Forex demo contests are highly beneficial for any trader. As we have mentioned earlier that it is risk-free trading, you can check a broker's authenticity for free. Moreover, brokers offer demo contest to grab new clients. You may go through our top 10 forex brokers list to check each broker if that offers a demo contest.