All forex trading companies bring out various forex contests where each participant can know his standings, and trading skills. Results are continuously tracked and ranked against other contestants based on the portfolio returns. Contests can be played by all participants without any real money involved. No real trading account is needed in most cases. A forex contest will not only help each potential trader to polish his skills and know where he stands among other participants in the market, but will also help to acquaint yourself with knowledge of whether you are able to trade efficiently in the market with real prices and real world volatility.
Many brokers hold regular trading contests among live accounts and demo accounts. Some are monthly, others weekly, and some are daily. Forex contests are mostly for beginners. It helps in comparing performances with other traders. In the demo account contest, participants can test their strategies and evaluate them. The emotional part of trading which is missing in demo trading can be experienced in a demo account contest. The loss in a demo account contest will certainly hurt a trader. If participants are successful, they can earn money from these contests as many brokers are giving cash rewards to top performers. But short duration contest are of no use, as a trader use high leverage to earn quick profit. Winning in short duration contest is like gambling and requires luck.
Other benefits are that participants gain skills for trading, as there were participants from various countries in the forex contest. Also, trading systems can be tested without risks, and there will be a cash or margin account. Most importantly, contests give the participant a readiness for real trading, by way of confidence and trading skills. Boosting confidence and being psychologically ready for real trading are the other benefits of going through contests.
Additionally, through forex contests, one can learn trading discipline, learn strict money management skills, the experience to compete with other traders profit also to understand what is his/her strength and weakness is. Some contests offer big cash rewards to winners and with this cash money, participants can deposit back in their real accounts to make the capital stronger.
There are various demo contests in the market, provided by several traders, where real cash prizes are won. Trading sites like FX Euro Club Forex, forexhsi, Sigmaforex, Masterforex, ForexClub etc, there are many such trading platforms where participants can test their skills and participate in forex contests, pitted against other participants from various countries. These forex contests are easy to join, with simple signing up procedures, no-expiry to account, and they could last for as long as you want, a day, week, or month. Contests can even be created with friends or colleagues, on the participants own terms. The procedure to be followed is that allowing the contest to be publicly listed, or keeping the contest private. Here, contestant statistics are automatically tracked. Portfolio return calculations are adjusted taking the deposits and the withdrawals into account.