paper trading
Fake stock transactions
Paper trading is practicing investment strategies without risking real money—tracking hypothetical buys and sells to test your approach.
The term comes from recording trades on paper rather than executing them.
Brokerages now offer simulated accounts for this purpose: I paper traded for six months before putting real money in the market.
Also called simulated trading or virtual trading.
- simulationImitation of real processes
- virtualExisting in effect, not fact
- practiceRepeated work toward mastery
- demoShort trial presentation
- stock marketSecurities trading venue
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- Online Tradingbuy order, sell order, market order, limit order, broker
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- tradingbid, buy, ask, sell, orders
- trading chartstrend lines, resistance level, moving average, RSI, line chart