Practice trading strategies with simulated money before risking real capital. Paper trading lets you test strategies in real market conditions without financial risk.
Paper trading uses real market data but simulated money. Orders execute at real prices, giving you realistic practice for live trading.
Paper trading is simulated trading with virtual money that mimics real market conditions. It bridges the gap between backtesting and live trading.
Tests strategies on historical data. Fast but uses past prices.
✓ Instant results
✗ Not real-time
Simulated trading with current market prices. Real-time practice.
✓ Real-time data
✓ No risk
✓ Practice execution
Real money, real risk. Only after proven strategy.
✓ Real profits
✗ Real losses
Confirm that backtested strategies work in real-time with current market conditions
Practice emotional discipline, handling losses, and following your system without real money stress
Learn how different order types work (market, limit, stop, stop-limit) without risk
Adjust entry/exit rules, position sizing, and risk management in real-time
Build a track record before committing real capital. Prove consistency over weeks/months.
Portfolio Name
Descriptive name (e.g., "Momentum Strategy Live Test")
Starting Capital
How much virtual money to start with (e.g., $100,000)
Risk Rules
Max position size, max portfolio loss, max positions
Tip: Create multiple portfolios to test different strategies simultaneously. For example, one for momentum trades and another for mean reversion.
Stratify supports all standard order types used in live trading:
Buys or sells immediately at current market price. Guaranteed execution but price varies.
Example:
"Buy 100 shares of AAPL at market" → Executes instantly at current ask price (~$180.50)
Use when: You want immediate entry/exit and price is acceptable
Buys or sells only at specified price or better. May not execute if price doesn't reach limit.
Example:
"Buy 100 AAPL with limit $178" → Only executes if price drops to $178 or below
"Sell 100 AAPL with limit $185" → Only executes if price rises to $185 or above
Use when: You want to control entry/exit price and can wait
Becomes a market order when price hits the stop level. Used to limit losses or protect profits.
Example:
You own 100 AAPL at $180. Set stop at $176 → If price drops to $176, sells at market (~$175.90)
Use when: You want automatic exit below/above a certain price
Combines stop and limit. When stop is hit, places a limit order. More control but may not execute.
Example:
Stop: $176, Limit: $175 → If price drops to $176, places limit order to sell at $175 or better
(Protects against executing far below stop in fast-moving markets)
Use when: You want stop loss but also price protection
Once you have open positions, track and manage them in real-time:
The Positions tab shows all currently held stocks:
Symbol
AAPL
Shares
100
Avg Entry
$180.50
Current Price
$183.25
P&L
+$275.00
P&L %
+1.52%
Market Value
$18,325
Actions
Close • Modify
Immediately sell all shares at market price. Use to quickly exit a trade.
Adjust your protective stops without closing. Example: Move stop loss from $176 to $180 to lock in profit.
Buy more shares (averaging up or down). Your average entry price will be recalculated.
Sell only some shares. Example: Take profit on 50% of position, let the rest run.
Track your paper trading performance with comprehensive analytics:
Deploy backtested strategies to trade automatically in your paper portfolio:
How it works: Stratify continuously monitors the market for entry/exit signals based on your strategy. When conditions are met, it automatically places orders in your paper portfolio.
View all automated actions: signals generated, orders placed, positions closed. Includes timestamps and reasoning.
Temporarily stop automated trading without deactivating. Useful during high volatility or news events.
Compare live paper trading results to original backtest. See if strategy performs as expected.
Before moving to real money, ensure you're truly ready:
Warning: Paper trading success doesn't guarantee live trading success. Real money introduces psychological pressure that can't be fully simulated. Start with small position sizes when going live.
Popular brokers for individual traders:
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Follow your risk rules, use realistic position sizes, and don't take trades you wouldn't take with real money.
Record why you entered, your plan, emotions, and lessons learned. The journal is more valuable than the P&L.
Practice with market, limit, stop, and stop-limit orders. Understand how each works before using live.
Focus on win rate, profit factor, max drawdown, and average win/loss ratio - not just total return.
Paper trade for several months through different market conditions before going live. Impatience causes most failures.
Create a custom trading strategy to test in paper trading.
Always backtest strategies before paper trading them.
Get notified when your paper trades execute or hit targets.
Open the paper trading platform and create your first portfolio.
