Last updated on November 4th, 2021 at 09:44 pm
If you’re looking for an easy way to learn to trade, paper trading may appeal to you. This type of trading eliminates the risks that you’d usually associate with trading, enabling you to learn the ropes without worrying about making a mistake. This makes paper trading ideal for people who are unfamiliar with trading, or who are looking to advance their skills.
One platform that is popular amongst paper traders is Webull. With a Webull paper trading account, you can experience what it’s like to trade, without the risk of losing your hard-earned cash. But what is paper trading on Webull and how do you know whether it’s for you?
We’ve got you covered. In this article, we’ll tell you everything you need to know about paper trading on Webull, from how it works to the costs involved.
What Is Meant By Paper Trading?
Think of paper trading as trading on paper. You’re going through the actions of trading, without taking any monetary risks. This is because brokers such as Webull enable you to use virtual money to practice trading and study the market, building up your experience without the risk of losing money.
By opening a demo account with Webull and beginning paper trading, you can learn how to trade, without putting your hard-earned cash on the line.
But how does Webull paper trading work and are there any hidden costs? Read on to find out.
How Does Webull Paper Trading Work?
So, how does paper trading with Webull actually work? Paper trading is almost identical to traditional trading through a live and funded account. The main difference is that real funds are not used. This is because paper trading uses only virtual money, meaning that you don’t have the risk of losing cash.
In paper trading, you will enter your orders in the exact same way as you would if you were using a live account. You can then keep track of your success and begin to build experience in trading without any of the risk.
Is Webull Paper Trading Free?
Webull is a popular choice for paper trading. One of the biggest reasons for this is that anyone can sign up to start paper trading on Webull, free of charge. In fact, they’ll even give you $1,000,000 of virtual cash to get you started! Generous, right?
Setting Up Paper Trading In Webull
Paper trading sounds ideal in principle, right? But how do you actually get started with paper trading in Webull? Let’s take a look at the process.
1. Open A Webull Account
The first thing you’ll need to do is to open a Webull account. You’ll need to do this through the Webull website, on either a computer or mobile phone browser.
It’s fast and simple to open a Webull account. You’ll first need to provide your email address and create a password. You’ll then need to verify your email address and read through Webull’s insurance and protection policies.
Finally, you can download the Webull app. You can either download this to your mobile phone or to your desktop computer.
2. Log Into The Webull App
Once you’ve downloaded the Webull app, it’s time to log in with the account details that you created. But you won’t be able to begin paper trading just yet. First, you’ll need to enable trading for your account.
To do this, you may be asked to submit identification documents. This is to check that you are who you say you are, and that you live in the country that you say you do. If you don’t provide this information, Webull won’t let you continue with paper trading.
On the right side of the screen, you’ll see a button that says “Unlock Trading”. You’ll then be asked for the relevant identification documents to open your trading account.
3. Set Up Your Webull Account For Paper Trading
You’ve got access to your Webull trading account – congratulations! You can now choose your layout for paper trading or paper day trading on Webull. Simply click the small circular dollar sign icon on the menu and choose your favourite layout.
4. Begin Paper Trading
Finally, you can begin paper trading in Webull. You’ll start off with a generous $1,000,000 of virtual funds that you can use to begin making trades right away. You can use these funds to trade in almost any stocks that you choose.
It’s a good idea to do your research before diving in – after all, $1,000,000 might sound like a lot of money but it will quickly deplete if you make a lot of mistakes. If you’re new to trading stocks, Webull has a learning centre that is full of tutorials on how the stock market works. This is a great way to begin learning about the different markets.
Is Paper Trading The Same As Real Trading?
Paper trading is almost identical to traditional trading. However, there is one key difference: paper trading uses virtual money, meaning that you’re trading in principle rather than reality. This makes paper trading a great way for beginners to get started with building experience in the stock market, before putting their skills to the test in a live and funded environment.
Is Webull Paper Trading Good For Beginners?
Paper trading is a good way to learn the ropes of trading for beginners. You can build experience by practising on a live market, without the risk of losing your hard-earned cash. This is something that you just can’t learn from a tutorial, as it requires control, logic and a degree of intuition.
However, there is another alternative to paper trading that shouldn’t be overlooked: copy trading.
Copy trading allows you to begin earning a passive income from trading, without needing to study the markets. In fact, it’s even suitable for complete beginners. With copy trading, you simply choose an experienced trader to follow and then mimic their trading actions. So, when your trader earns a profit, so do you.
I’m Jon, owner of Trade Wise at https://tradewise.community/ and https://www.youtube.com/channel/UC7VmOx8DbvX4Rbrac2pPcjw
I review forex and crypto trading products and services to find the best of what’s out there for creating a passive income without becoming a full-time trader.