timothy sykes logo

Trading Lessons

What Is Webull Paper Trading and How Does It Work?

Written by Tim-bot
Reviewed by Friedrich Odermann Fact-checked by Ed Weinberg
Updated 10/6/2023 14 min read

Webull Paper Trading is a feature that allows investors to practice trading with virtual money. It’s a risk-free way to learn the ropes of the stock market, test strategies, and gain experience without risking real funds. In this article, we’ll dive into the ins and outs of Webull Paper Trading, from setting up an account to the pros and cons.

Table of Contents

What Is Webull Paper Trading?

© Millionaire Media, LLC

Webull Paper Trading is essentially a simulated trading environment. It offers a demo account where you can trade stocks, ETFs, and options without risking real money. Just like in my early trading days, it’s a valuable tool for beginners to get their feet wet and for experienced traders to test new strategies.

How Does It Work?

Post image

Get my weekly watchlist, free

Sign up to jump start your trading education!

The platform mimics real-time market data, allowing you to make trades as if you were using real money. You get a set amount of virtual funds to start with, and you can monitor your performance over time. It’s a fantastic way to practice without the fear of losses, something I always emphasize to my students.

Benefits of Webull Paper Trading

Webull Paper Trading offers numerous benefits, whether you’re a newbie or a seasoned trader. I’ve seen countless traders benefit from paper trading before diving into the real thing.

Webull Paper Trading Benefits For Beginners

For beginners, it’s a low-risk environment to understand trading options, market data, and how to analyze stocks. You can practice buying and selling shares, all while gaining valuable experience.

Webull Paper Trading Benefits For Professionals

Even for professionals like me, paper trading is a great way to test new trading strategies. You can experiment with different types of orders and securities without risking your hard-earned money.

Setting Up a Webull Paper Trading Account

Setting up a Webull Paper Trading account is straightforward.

First: do your due diligence and see how Webull stacks up against other platforms. I’ve got a detailed breakdown comparing Thinkorswim and Webull that could help you make a more informed choice. It’s crucial to know your tools inside and out. Don’t miss this chance to compare; check out my comprehensive guide.

While you’re checking out the competition, be sure to give my favorite trading platform a try — StocksToTrade.

Creating an Account

First, you’ll need to create an account. This involves providing some basic information and verifying your identity. Just like opening a real trading account, you’ll need to go through some standard procedures.

Funding Your Account

Technically, you’re not funding your paper trading account with real money. Instead, Webull provides you with a set amount of virtual funds. It’s similar to the initial deposit you’d make in a real account, but without the financial risk.

Accessing the Platform

Once your account is set up, you can access the Webull Paper Trading platform either via their desktop app or mobile app. Both platforms offer a range of tools and indicators to help you make informed trades.

How To Get Started With Webull Paper Trading?

© Millionaire Media, LLC

Getting started with Webull Paper Trading is a straightforward process. I’ve guided many students through this, and it’s easier than you think.

Step 1: Webull Account Opening

First, you’ll need to open a Webull account. This involves filling out some forms and providing identification. It’s a standard process, similar to what I went through when I first started trading.

Step 2: Choose Your Trading Platform

Webull offers a desktop and mobile platform. Choose the one that suits your trading style. I often tell my clients that the platform you choose can make a significant difference in your trading experience.

Step 3: Access Paper Trading Account

Once your account is verified, you can access the paper trading feature. You’ll be given virtual funds to start trading. It’s a great way to practice, just like I did when I was learning the ropes.

Using Webull for Paper Trading

Webull’s paper trading feature is more than just a playground; it’s a comprehensive training ground. I’ve always said that the tools you use can make or break your trading career, and Webull offers some of the best.

Types of Orders You Can Place with Webull

You can place a variety of orders, including market, limit, and stop orders. This mimics the real trading environment, allowing you to get a feel for different trading strategies.

How To Place a Trade on Webull’s Platform

Placing a trade is simple. Select the stock or ETF you’re interested in, choose the type of order, and execute. It’s similar to how I place trades in real-time, offering a realistic experience.

Research Tools Available on Webull for Paper Traders

Webull offers robust research tools, including real-time market data, charts, and indicators. These tools are essential for making informed trades, something I stress in all my teachings.

How To Paper Trade On Webull

© Millionaire Media, LLC

So you’re ready to start paper trading on Webull? Good, because practice is the cornerstone of any successful trading strategy.

Choose Your Trading Strategy

First, decide on a trading strategy. Whether it’s day trading, swing trading, or long-term investing, having a strategy is crucial. Like I’ve always said, “Plan the trade and trade the plan.”

Placing Orders

Once you’ve chosen a strategy, you can start placing orders. Use the virtual funds in your paper trading account to buy and sell stocks, just like you would in a real account.

Consider Real Money Trading

After you’ve gotten the hang of paper trading, you might consider switching to real money trading. But remember, the risks are real too. Always use risk management strategies, like setting stop-loss orders, to protect your investment.

Pros and Cons of Using Webull for Paper Trading

Every platform has its ups and downs, and Webull is no exception. I’ve used multiple platforms throughout my trading career, and each has its unique features and limitations.

Pros of Using Webull for Paper Trading

Webull offers a user-friendly interface, a wide range of research tools, and zero commissions on trades. It’s an excellent platform for both beginners and experienced traders to hone their skills.

Cons of Using Webull for Paper Trading

On the flip side, the platform might seem overwhelming for absolute beginners. Also, it’s worth noting that paper trading can’t entirely replicate the emotional pressures of real trading.

Technical Indicators & Educational Resources Available Through Webull

Webull offers a variety of technical indicators and educational resources. These can be invaluable for traders looking to deepen their understanding of the markets.

If you’re an advanced trader, you might want to check out the competition. In the service of that, here’s a side-by-side comparison of TradeStation and Thinkorswim. I’ve dissected the pros and cons of each to help you decide which platform suits your trading style best. Check out the full comparison here.

Which Securities are Available for Webull Paper Trading?

© Millionaire Media, LLC

Webull Paper Trading isn’t just limited to stocks; you can also trade ETFs and options. This diversity allows you to practice various trading strategies, something I always recommend to my students.

Fractional shares are also an option. Always check the availability of your preferred shares — other platforms, like TD Ameritrade, may have different options. Check out my deep dive into fractional share trading on TD Ameritrade to learn more.

Safety Tips When Using Webull For Paper Trades

Safety should always be a priority when trading, even in a simulated environment. Always remember to log out of your account when you’re done, and keep your login information secure.

Webull Commissions and Fees

One of the best things about Webull is that it offers commission-free trading. However, it’s essential to read the fine print as there might be other fees, like margin fees, that could apply.

Is a Webull Account Right for You?

Webull is an excellent platform for both beginner and experienced traders. If you’re serious about trading, Webull’s paper trading feature is a fantastic place to start. It’s a platform I often recommend, given its robust features and user-friendly interface.

Key Takeaways

© Millionaire Media, LLC

Webull Paper Trading is an invaluable tool for anyone looking to get into trading or refine their strategies. It offers a risk-free environment to practice, robust research tools, and a variety of securities to trade.

It isn’t a silver bullet for your trading plan — but Webull Paper Trading is one of the many topics you should learn as part of your trading education!

Trading isn’t rocket science. It’s a skill you build and work on like any other. Trading has changed my life, and I think this way of life should be open to more people…

I’ve built my Trading Challenge to pass on the things I had to learn for myself. It’s the kind of community that I wish I had when I was starting out.

We don’t accept everyone. If you’re up for the challenge — I want to hear from you.

Apply to the Trading Challenge here.

Trading is a battlefield. The more knowledge you have, the better prepared you’ll be.

Have you used Webull Paper Trading? Let me know in the comments — I love hearing from my readers!


Can I Switch from Paper Trading to Real Money Trading on Webull?

Yes, switching from paper trading to real money trading is straightforward. However, be prepared for the emotional and financial risks involved in real trading.

Are There Any Limitations on the Duration of Paper Trading on Webull?

No, there are no time limitations on how long you can use the paper trading feature. It’s a great way to continually refine your strategies.

Can I Use Webull’s Paper Trading Feature on Mobile Devices?

Absolutely, Webull’s paper trading feature is available on both desktop and mobile platforms, offering flexibility for traders on the go.

What Investments and Services Does Webull Offer for Paper Trading?

Webull offers a variety of investments and services that simulate the real stock market, from options trading to commodities. The platform allows customers to experiment with these services in a risk-free environment through paper trading.

How Is Webull’s Content and Articles Relevant to Paper Trading?

Webull’s content, particularly articles focused on market analysis and advice, can provide valuable insights for your paper trading exercises. This educational content allows you to understand different investment strategies and make better-informed decisions.

What Products Can You Trade on Webull’s Paper Trading Platform?

In Webull’s paper trading platform, you can trade a range of products, from equities to options trading and commodities. This gives customers a chance to test their potential profit scenarios and market analysis techniques without real-world consequences.

How Do Insurance Policy and Accounts Relate to Webull Paper Trading?

Webull offers a secure trading environment, backed by an insurance policy that protects your simulated accounts. While paper trading accounts don’t involve real money, the insurance policy ensures the security and integrity of your virtual trading data.

What Level of Analysis Can You Conduct in Webull’s Paper Trading?

With Webull, you can engage in a high level of analysis, utilizing various tools and features to examine market trends, results, and potential trades. Such analytical depth provides a realistic experience for those looking to eventually trade on a live exchange.

What Claims and Recommendations Should You Watch For?

While using Webull’s paper trading, you may come across various claims and recommendations, either from the platform’s content or other users. Keep in mind that these are not financial advice and should be cross-referenced with your own research and analysis.

What Rights and Opportunities Do You Have with Brokers on Webull’s Online Platform?

On Webull’s online platform, you have the opportunity to interact with simulated broker services during paper trading. This gives you the chance to explore various trading characteristics, assess the value of different investment products, and even make virtual purchases. The platform is designed to provide you with a realistic experience, so you know what to expect when you engage with real brokers in live trading environments.

How much has this post helped you?

Leave a reply

Author card Timothy Sykes picture

Timothy Sykes

Tim Sykes is a penny stock trader and teacher who became a self-made millionaire by the age of 22 by trading $12,415 of bar mitzvah money. After becoming disenchanted with the hedge fund world, he established the Tim Sykes Trading Challenge to teach aspiring traders how to follow his trading strategies. He’s been featured in a variety of media outlets including CNN, Larry King, Steve Harvey, Forbes, Men’s Journal, and more. He’s also an active philanthropist and environmental activist, a co-founder of Karmagawa, and has donated millions of dollars to charity. Read More

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”