3/3★ Sometimes I borrow the power of ChatGPT, that is 33

FX Auto Trading, the EA developerReiwa's Double E here.

Since last year, this series has aimed for daily posts.

I think I have continued for almost a year now!

If you read what I have written so far,

you will surely move closer to better EA management, I claim.

And, as I want to take a short break,

I will continue posting with the help of ChatGPT.

Occasionally, I will post irregularly as in the past.

Differences Between Demo and Real Accounts – Are Short-Term Differences Truly Reliable?

Hello, I am Reiwa's Double E, the EA developer.

Today I would like to talk a little about the differences between Demo and Real accounts.
When operating an EA, testing on a demo account is common, but there can be differences between demo and real accounts.
Let’s think about these differences.

If you lose on a Demo account, will the broker stop using you?

Demo accounts are very useful for testing EA performance without risk. However, if you keep losing on a demo account, you may worry, “Will I get the same results on a real account?”

If you don’t get good results on a demo account, traders may be reluctant to open a real account with that broker. For this reason, there are discussions that brokers may create differences between demo and real accounts.

Indeed, there are factual differences between demo and real accounts. For example:

Slippage and price delays differ

In a demo account, fill speed may differ from a real account. In real accounts, orders must be executed in actual market conditions, causing slippage and order delays, whereas in demos these effects are less.

Less liquidity risk

In real accounts, there are risks like slippage due to illiquidity and order rejections, but in demo accounts these risks are absent, so trades often fill at the best price.

Using virtual funds

Demo accounts use virtual funds, so traders’ psychology is different. This can lead to outcomes that differ from real account performance. Especially when facing large losses or gains, it’s hard to stay calm in real accounts, but there is no such psychological effect in demos.

Are the differences between real and demo accounts truly broker-driven?

Some say brokers deliberately produce better demo results to attract clients to real accounts. However, such claims should be considered carefully.

For brokers, long-term profits depend on customers continuing to trade. Therefore, it is more likely that the differences arise from technical factors and liquidity differences described above rather than deliberate manipulation.

Short-Term Forward Tests Do Not Converge Easily

Also, in short forward tests, it’s important to note that differences between demo and real accounts may not converge quickly. Even if large gaps exist in the demo, they are likely to converge over the long term.

In the short term, results may vary due to specific market conditions or timing, but by conducting long-term forward testing, EA performance tends to stabilize and reveal true capability.

Therefore, even if a demo account shows poor results in the short term, do not immediately disparage the broker or the EA. Instead, perform long-term forward testing to see whether results converge.

Conclusion – Evaluate EA from a Long-Term Perspective

Ultimately, it’s a fact that there are differences between demo and real accounts, but these differences are not necessarily intentional by brokers; they are mostly due to technical factors and market conditions.

Therefore, when testing an EA, don’t be swayed by short-term results. Conduct long-term forward testing and let results converge.

As EA developers and traders, maintaining a long-term view of “how it looks in the long run” will lead to stable operation and success.

With that, please continue to have a good trading life!

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【From Starting to Intermediate: EA Beginner to Intermediate Flow Summary】

First, mastering the installation of the EA is important.

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MT4 EA (Expert Advisor) and Indicator Installation Steps

https://www.gogojungle.co.jp/post/1/8212

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※GoGoJungle Video Version※

I know at first you won’t understand everything all at once, and you’ll stumble. But don’t rush—you’ll be fine!

If you don’t understand something, there is a “Contact Form,” so please use it!

----------------------------------

https://www.gogojungle.co.jp/inquiry

【How to Choose EA】

Now that you feel ready to operate an EA,

you might think, “I don’t know which EA will win… I don’t want to lose…”

So Reiwa's Double E provides some guidance with the following article series:

“From Backtesting to Winning EA”

--------------------------------

https://www.gogojungle.co.jp/finance/navi/series/1714

【EA Risk Management How-To?!】

■“How to calculate EA risk management”

https://www.gogojungle.co.jp/finance/navi/articles/64703

【EA Operation Mindset is Also Important】

And, to sustain EA operation long-term, the EA operation mindset is also important.

Regarding those articles,

12/30 Year-End and New Year SP!! EA Full Overview Course Part 3

https://www.gogojungle.co.jp/finance/navi/articles/80551

https://www.gogojungle.co.jp/finance/navi/articles/72829

https://www.gogojungle.co.jp/finance/navi/articles/73797

So,

the content is quite substantial and important,

even if you can’t understand it right away, please be sure to read!

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【Reiwa's Double E EA Listing】

https://www.gogojungle.co.jp/users/112481/products

Specifically, categorized EA by genre for Reiwa's Double E

https://www.gogojungle.co.jp/finance/navi/articles/67162

(Genre diversification is essential when building a portfolio)

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【Reiwa's Double E Serialized Articles】

■EA Beginner Course

https://www.gogojungle.co.jp/finance/navi/series/1700

“About the calculation method for EA risk management”

https://www.gogojungle.co.jp/finance/navi/articles/64703

https://www.gogojungle.co.jp/finance/navi/articles/65978

https://www.gogojungle.co.jp/finance/navi/articles/64738

https://www.gogojungle.co.jp/finance/navi/articles/65619

https://www.gogojungle.co.jp/finance/navi/series/1714

https://www.gogojungle.co.jp/finance/navi/series/1701

https://www.gogojungle.co.jp/finance/navi/articles/64723

https://www.gogojungle.co.jp/finance/navi/articles/65010

https://www.gogojungle.co.jp/finance/navi/series/610

【Reiwa's Double E's Beliefs】

Develop EA with proper methods,

draw more people to your products,

and maintain a long-term WIN-WIN relationship,

to invigorate the EA market and raise literacy.

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Hello, I am Reiwa's Double E, the EA developer.

Today I would like to talk a little about the differences between Demo and Real accounts.When operating an EA, testing on a demo account is common, but there can be differences between demo and real accounts.Let’s think about these differences.

If you lose on a Demo account, will the broker stop using you?

Demo accounts are very useful for testing EA performance without risk. However, if you keep losing on a demo account, you may worry, “Will I get the same results on a real account?”

If you don’t get good results on a demo account, traders may be reluctant to open a real account with that broker. For this reason, there are discussions that brokers may create differences between demo and real accounts.

Indeed, there are factual differences between demo and real accounts. For example:

Slippage and price delays differ

In a demo account, fill speed may differ from a real account. In real accounts, orders must be executed in actual market conditions, causing slippage and order delays, whereas in demos these effects are less.

Less liquidity risk

In real accounts, there are risks like slippage due to illiquidity and order rejections, but in demo accounts these risks are absent, so trades often fill at the best price.

Using virtual funds

Demo accounts use virtual funds, so traders’ psychology is different. This can lead to outcomes that differ from real account performance. Especially when facing large losses or gains, it’s hard to stay calm in real accounts, but there is no such psychological effect in demos.

Are the differences between real and demo accounts truly broker-driven?

Some say brokers deliberately produce better demo results to attract clients to real accounts. However, such claims should be considered carefully.

For brokers, long-term profits depend on customers continuing to trade. Therefore, it is more likely that the differences arise from technical factors and liquidity differences described above rather than deliberate manipulation.

Short-Term Forward Tests Do Not Converge Easily

Also, in short forward tests, it’s important to note that differences between demo and real accounts may not converge quickly. Even if large gaps exist in the demo, they are likely to converge over the long term.

In the short term, results may vary due to specific market conditions or timing, but by conducting long-term forward testing, EA performance tends to stabilize and reveal true capability.

Therefore, even if a demo account shows poor results in the short term, do not immediately disparage the broker or the EA. Instead, perform long-term forward testing to see whether results converge.

Conclusion – Evaluate EA from a Long-Term Perspective

Ultimately, it’s a fact that there are differences between demo and real accounts, but these differences are not necessarily intentional by brokers; they are mostly due to technical factors and market conditions.

Therefore, when testing an EA, don’t be swayed by short-term results. Conduct long-term forward testing and let results converge.

As EA developers and traders, maintaining a long-term view of “how it looks in the long run” will lead to stable operation and success.

With that, please continue to have a good trading life!

Today I would like to talk a little about the differences between Demo and Real accounts.
When operating an EA, testing on a demo account is common, but there can be differences between demo and real accounts.
Let’s think about these differences.