The remarks are quite common among the traders about the fact that the same EA shows completely different results when trading on demo and real accounts. In such situations, the traders offer different suggestions, ranging from DC conspiracy to tricky algorithm of the expert advisor which was initially programmed to siphon a real account.

Expert advisor for demo account uses quotes provided by the DC. The same DC provides quotes for a trader’s real account, and there can’t be fundamental differences between them (only minor ones). Therefore, it would be wrong to itemize expert advisor for demo account separately.

As for the reasons why the same expert advisor shows different results on demo and real accounts, we can suggest the following:

• difference in quotations due to time zones;
• speed of the order execution (this parameter is important for scalping advisers);
• human factor.

Expert advisor for demo accounts: features 

When trading on demo account, the expert advisor has some advantages compared to trading on real account. The server robot executes all orders almost instantaneously, whereas in real trading there may be delays (except for NDD and ECN accounts). For scalping Forex robots, this parameter can be critical.

If demo and real accounts are opened with different DCs, there may be discrepancies in quotations due the difference in time zones. Consequently, trading results will also differ. This factor is important for trading on timeframes higher than h1. 

As for the human factor, even with automated trading not everyone can control themselves. Loss of demo account results in nothing else than impaired mood, but when the expert advisor for demo account begins trading on a real account, many traders interfere with it, closing the deals manually.

However, a nearly harmless impact on the EA operation can be observed from the part of some DCs. The most popular problem is constant delays, requotes, allowing the broker to get a few more pips in addition to the spread for each deal. In this situation, the losers are scalping robots and expert advisors trading on news.

How to use expert advisor for a demo account in real trading 

The expert advisor for demo account should ultimately be used in real trading. Demo account is just an opportunity to try out the trading algorithm in conditions close to reality, test it, and, if necessary, make changes to the algorithm. All Forex robots pass this stage, then, as a rule, its testing on cent account follows, and only then the expert advisor is used on the classic real account.

To install the EA, you just need to copy the file with .ex4 extension. to the “Experts” folder. Thereafter, in the trading terminal you need to drag the EA to the chart of the chosen currency pair and allow it to trade. To let the EA use real money, you need to launch the terminal by entering username and password for real account.

As for the reason why the results of EA work on demo and real accounts are so strikingly different, the main one is the trader themselves. The exception to this statement is scalping EA, which performance may differ very much for quite objective reasons.

To eliminate possible differences in test results, we can recommend to avoid using scalping advisors and choose a greater time interval for testing. A significant number of deals would nullify the effect of possible small differences in quotes.