A binary options demo account is an account that allows you to practice how to trade without risking your money. To open the account, you need to register with your preferred trading company and make a minimum deposit.
You should note that while many companies require you to make a minimum deposit, the money is not spent; therefore, you can’t lose it. The reason why companies require you to make a deposit is to show that you are serious about trading.
The good thing with a demo account is that it’s synonymous to a real account. This means that once you get the account you won’t have restrictions in the number of trades that you can execute. You will also not have any restrictions in the number of indices or currency pairings that you can trade.
In addition to allowing you to trade, demo accounts also have educational materials that make it easy for you to learn how to trade. The informational materials are in form of eBooks and videos.
Factors to consider when choosing a binary options demo account
Ease of use: different companies have accounts that operate differently. While there are some accounts that are easy to work with, there are others that are difficult. Before you decide to open an account with a given company, you should consider how easy it is to work with the account.
The best way of determining how easy it will be to work with the account is to take a look at how easy it is to register with the company. If you have a difficult time registering, chances are that you will have a hard time working with the account.
Rate of return: different platforms have different rates of return; therefore, you should be careful when making your choice. To be on the safe side you should go with a company with a rate of return of between 65 and 85%.
Broker investment houses with great demo accounts
24 Option Demo: before you get an account here you need to make a deposit. The good side is that once you make a deposit you will have unlimited amount of time and money to perfect your trading strategy. In addition to this, the platform also has a large selection of assets to choose from.
Bank de Binary: just like 24 Option, the demo account is available only after making a deposit. Once you have made a deposit, you get $50,000 fake dollars that you can use to practice and perfect your trading.