Yes the demo account is very useful for testing out theories. It has been extremely useful for me in particular with options trading. Buying a put vs selling a put, buying or selling a call for example. my understanding of buying a call for example was the first thing I tested. from what I had researched (and a lot of it was rather confusing) to buy a call means you believe the price of the underlying stock will go up over time. then it got really interesting as I brought calls at different strike prices, so far I have observed that the cheapest calls tend to be the ones with lower strike prices, that seems counterintuitive to me. But on thinking it through the lower the strike price the higher the premium. So if you go long as I do, I have to more upfront to secure something that doesn't "mature" for two years.
I'm playing round with many different scenarios thanks to the demo account, an learning by practicing rather than just reading. It's fantastic
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