> ## Documentation Index
> Fetch the complete documentation index at: https://docs.shekel.xyz/llms.txt
> Use this file to discover all available pages before exploring further.

# Paper Trading

> Run your agent on live market data with a virtual balance — zero capital at risk

Paper mode runs your agent on **real, live market data** against a **virtual \$10,000 balance**. Every trade is simulated — nothing ever touches your Hyperliquid account. It's the dress rehearsal between backtesting and going live.

<Note>
  Paper mode is the middle gate of the recommended path: **configure → backtest → paper-trade 1–2 weeks → review with the AI → go live.** Your agent will guide you through it — ask it *"how's my paper trading going?"* or *"ready to go live?"* for an honest read.
</Note>

## How it works

* Your agent runs on **exactly** the same schedule, data sources, strategy, and risk limits as live mode.
* Trades execute against a simulated **\$10,000 USDC** portfolio at **real mark prices**.
* Positions, P\&L, fees, and funding rates are all tracked and shown on your dashboard, just like live.
* The AI chat assistant sees your paper portfolio and can discuss performance, suggest adjustments, or tell you when results look live-ready.

## What's fully simulated

| Behaves like live           | Detail                                                                                                                                                                                    |
| --------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| **Risk caps**               | Max drawdown, daily loss, and max open positions are enforced identically.                                                                                                                |
| **Stop-loss & take-profit** | Including multi-rung TP **ladders** (each rung fills as a partial close). A backend poller checks mark prices every \~2 minutes and fills them when triggered — mirroring live execution. |
| **Limit orders**            | Simulated against real mark prices.                                                                                                                                                       |
| **Funding**                 | Accrued every 8 hours at real Hyperliquid rates.                                                                                                                                          |
| **Credits**                 | Standard credit cost still applies — the agent reads data and calls the model the same way.                                                                                               |

## What's different from live

* **No real capital is ever at risk.** The \$10,000 is virtual.
* **No slippage simulation (v1).** Fills are at the current mark price, so paper P\&L may **slightly outperform** live — treat it as optimistic.
* **`[PAPER]` badges** appear throughout the dashboard and chat so you always know which mode you're in.

## Switching modes

Open **Modify Agent → Trading Mode** card → tap **Go Paper** or **Go Live**.

* **Going Paper is instant** — no funding needed.
* **Going Live** requires a confirmed USDC deposit into your agent's Hyperliquid account.

<Tip>
  Paper-trade for at least 1–2 weeks across different market conditions before going live. A strategy that looks great in a single calm week can behave very differently in a volatile one.
</Tip>