Want to practice trading risk-free? Discover the 5 best free stock market simulators

The Biggest Mistake Beginners Make (and How to Avoid It)

Here comes the uncomfortable truth: most traders who lose money in their first month never practiced on a virtual account. Why? Because they don’t understand the difference between a stock market simulator and a demo account, or they simply don’t know they exist. And when they finally discover it, it’s too late.

The problem is more psychological than it seems. When you work with virtual money that just appears on your screen, without it costing you to earn it, something fascinating tends to happen: you invest without thinking. This is what some call the “virtual euphoria illusion.” Your available capital is tens of thousands of euros, but in real life, you’ll barely have a few thousand. That gap leads to completely different decisions.

What Is a Stock Market Simulator Really?

First, clarity: a stock market simulator is not the same as a broker’s demo account, although many confuse them.

A stock market simulator is an educational tool developed by specialized platforms (not by brokers). Its purpose is pure: to teach you how markets work without involving real money. Think of it as a trading video game, but with real market data.

A demo account, on the other hand, is offered directly by online brokers. It’s not just education; it’s an exact replica of what you will experience when you deposit real money. Same order execution, same advanced tools, same response times. Moreover, some brokers let you switch between your virtual and real account at any time, which is invaluable for testing strategies.

The key difference? The stock market simulator is slow and educational. The demo account is fast and practical.

What Are These Tools Really For?

There are two objectives that any trader should have clear:

1. Education: Learn about investing in stocks, forex, cryptocurrencies, CFDs, ETFs, indices. Gain experience in order management, risk management tools, and technical analysis.

2. Tactical Training: You already know the basics, but want to test a new strategy or an asset you’ve never touched. This is where you practice without exposing yourself to real losses.

An interesting fact: large fund managers also use simulators before opening real positions. It’s not just for beginners.

What You’ll Find Available to Trade

In a good stock market simulator, you can practice with:

• Domestic and international stocks
• Stock indices
• Currencies (Forex)
• Commodities
• Cryptocurrencies
• ETFs
• CFDs (in broker demo accounts)

Some simulators offer more than others. Serious broker demo accounts usually have the most complete catalog.

The 5 Simulators and Demo Accounts That Really Work

MiTrade: The No-Time-Limit Option

This Australian broker has earned a reputation for treating retail investors well. Its demo account is unlimited in time, offers $50,000 virtual funds, and works perfectly on both web and mobile apps.

Best part: you can trade CFDs, which means you can take short positions and use leverage from the start. Plus, it’s easy to switch between your virtual and real account when you’re ready.

MarketWatch’s Virtual Stock Exchange: The Classic Simulator

MarketWatch is one of the oldest and most respected financial websites. Its stock market simulator is simple but effective. You register for free, create your virtual portfolio, and have access to professional analysis and watchlists.

Ideal if you want to learn without unnecessary technical complications.

IG: The Reputable Platform

One of the oldest brokers in the world (listed on the stock exchange). Its demo account gives you access to thousands of assets via CFDs, with execution through MetaTrader, the most professional platform of all.

It offers many educational resources to accompany your practice.

HowTheMarketWorks: Pure Education

This was the first stock market simulator launched, and it remains one of the most focused on education. Annually, it trains half a million students. They give you $100,000 virtual funds to experiment freely.

It has a premium subscription model if you want access to more advanced tools, but the free version is solid.

eToro: Social Trading Without Complexity

The global leader in social trading offers a demo account that perfectly reflects its business model: simple, accessible, without overwhelming charts. Its strength is that in the demo account, you also access social trading dashboards.

Perfect if you want to see how other traders operate in real time while practicing.

The Psychological Traps You Need to Know

The “Illusion of Abundance”

Your virtual account has $100,000. In real life, you have $5,000. With money that’s not yours, you invest differently. You tend to diversify less, take more risks, and not respect your trading system.

Solution: Set a loss limit in your demo account as if it were real money. When you lose 5% or 10% of your virtual capital, stop and analyze why it happened.

The Lack of Precision in Executing Orders

Some stock market simulators are slow. Orders are executed with delay, prices don’t exactly match the real market. This is normal; it’s an educational tool, not a real trading system.

The important thing: Don’t expect your demo account to be identical to reality. Precision and speed are where serious broker demo accounts surpass pure simulators.

The Limited Period of Some Brokers

Some brokers only let you use the demo account for 30 days. That’s little. Look for those with unlimited access (like MiTrade) if you want to practice at your own pace.

How to Properly Use a Demo Account (Step by Step)

If you decide to start with MiTrade, which is one of the simplest options:

Step 1: Visit their website. Find the “Open demo account” button on the main screen.

Step 2: Select your country of residence. You have two options: browse as a guest (immediate access) or register as a user (more features).

Step 3: Once inside, you’ll see in the top right corner that the demo account is activated. Your balance will show the $50,000 virtual funds.

Step 4: Start trading. The platform works on web and mobile, so you can practice from anywhere.

5 Tips That Will Make a Difference

1. Experiment for real: It’s your moment to try crazy ideas you’d never attempt with real money. Fail fast, learn fast.

2. Take it seriously: Even if virtual, keep a rigorous track as if it were real. Real numbers, real analysis, simulated stress. If you don’t, you won’t learn anything.

3. Combine theory with practice: Read about trading while using the demo account. Re-test what you’ve read. It’s the best way to embed it in your mind.

4. Keep a record: What trades did you make, why, what happened. This is crucial for identifying patterns in your trading style.

5. Don’t think it’s only for beginners: Professional traders constantly use stock market simulators. Keep a demo account open even when you’re already trading with real money.

The Truth About Stock Market Simulators

A demo account or stock market simulator is an investment of time, not money. The return can be huge if you use them correctly: avoid real losses, gain experience, identify what works and what doesn’t in your strategy.

Best part? They are completely free. No excuse not to practice before risking your money.

Trading is not luck. It’s practice, analysis, and discipline. The stock market simulator is your risk-free training ground. Use it.