With the freedom of risk-free trading practice, you can experiment with various moving average lengths until you land on one that you feel works best. Let’s say you find that a strategy using a nine-period moving average whipsaws you out of positions too often.
So-called paper trading is a good introduction to an unfamiliar platform, new terminology, rule changes, and your first few stabs at increasingly advanced strategies. Parents, teachers, and coaches have long instructed that “practice makes perfect.” Perfection in the stock market is impossible, but trading practice can help you develop methodologies aimed at capturing higher winning percentages before you put real skin in the game.
