ASAAN TRADING ACADEMY
Demo Trading Practice: A Trade Journal You Can Review
Turn a chart idea into a written plan, a demo trade and useful feedback. Use this sample exercise before considering real-money trading.
What should you practise on a demo account?
Use a demo account to practise placing orders, defining risk and reviewing decisions. The goal is to follow a written process consistently. A positive demo balance alone does not prove readiness for live trading, where fills, costs and emotions can differ.
Start with one instrument and one timeframe. Learn its quote units and contract specifications before changing position size. Keep the exercise simple enough that another person could repeat your rules without guessing what you meant.
A five-part pre-trade plan
- Context: record the instrument, timeframe and whether price is trending or ranging.
- Level: mark the specific price area that matters and explain why.
- Trigger: describe the observable condition required before entry.
- Invalidation: decide what would show that the idea is wrong.
- Risk: record the planned exit, position size and relevant costs.
If you cannot describe the trigger without referring to a future candle, the rule is not yet ready to test. “Buy when it looks strong” is subjective; a defined close above a marked level is easier to review.
Example: same position size, different planned loss
For a fictional instrument worth one currency unit per point per contract, two contracts with a ten-point stop imply 20 units of price risk before costs. Keeping two contracts and doubling the stop distance to twenty points implies 40 units. This illustrates why position size must be considered with stop distance.
These are teaching units, not forex-lot or gold-contract specifications. Use the actual product’s tick value and size rules. A stop order does not guarantee the exact exit price.
A copyable homework template
| Journal field | What to record |
|---|---|
| Before entry | Instrument, date, timezone, timeframe, context and screenshot |
| Written plan | Trigger, invalidation, stop, target, size and planned costs |
| Execution | Actual demo fills, changes and reasons |
| Outcome | Result after costs and whether the rules were followed |
| Next review | One specific mistake or question for feedback |
What useful feedback looks like
A useful review separates process from outcome. A losing trade can follow a sound plan; a winning trade can come from breaking your own rules. Ask whether the setup qualified, whether the risk was defined and whether you changed the plan without a reason.
Keep screenshots from before and after the trade. Include skipped setups, because deciding not to trade is part of the process. Do not change five rules after one loss: you would no longer know which change affected the next result.
At Asaan Trading, chart homework and demo practice are part of structured learning. Group students can compare reasoning with classmates; premium mentorship provides more individual feedback. See how practical learning works or compare programs and fees.
Trading involves risk of capital loss. Education does not guarantee results.