When it comes to forex trading, it is very important for every novice trader to learn the fundamentals and practical strategies on how to do it appropriately. Yet, it is not enough. You need to have some hands-on experience. This is where forex trading simulator comes into play.

With the aid of a simulation program you can trade the forex market in real time without risking your money. Clearly, it gives you real-world experience with no actual cash getting involved. This can prevent you from getting into real troubles every time you make a wrong decision.

Forex trading simulation programs also provide additional benefits. By using it you can gain a more understanding of the forex market. You can also apply a strategy that you have learned to find out whether it works or not. It is even possible for you to formulate your own strategy by conducting a number of experiments with such program.

On the internet you can find various forex trading simulators. Some are even provided for free by brokerage firms. What they hope is that once you have become familiar with the trading process you will use their service to trade real currencies. It is really a win-win solution.

Some simulation programs require you to install a piece of software on your computer. However you can also find the ones which require nothing except your own web browser. The advantage of using the last type is it can be played on any computer that is connected to the internet.

Usually fx trading simulators allow you to determine the amount of capital you want to start with. You may want to set it with the same amount of money you intend to put in the actual trading.

Needless to say, forex trading simulator gives you chances to try various things, from predicting the trends to determining the stop loss. All can be tried with this tool. Once you have gained some confidence, skills and experience, it is the time for you to jump into the real market to make real profits.