MetaTrader 4: what is it and how does it benefit traders?

Metatrader 4 (MT4) has grown to become the most widely used automated electronic trading platform. So what exactly is it and how can its features positively impact your trading activity? We offer you the lowest…

 

 

How MT4 works

MT4 is a trading platform developed by a company called MetaQuotes. Even if you haven’t heard of a particular company, just take a look at some of the popular brokerages (ETX Capital and Binary.com, just two of them) and you’ll find them.

Since MT4 works mostly in relation to forex trading, it can be used for trading commodities and indices through spread betting or CFD and futures markets. It is used for license by many brokers and essentially consists of an interface for placing and managing trades. Additionally, the platform has a number of tools to apply automated trading techniques as well as price and market analysis.

Some brokers offer a basic MT4 experience, while others (like IG) enhance it with a set of customizable additional tools. So MT4 is rather like an Android smartphone. Its basic feel is the same regardless of model, but some manufacturers tend to add their own touches over others.

Several brokers also offer MT4 as an alternative for trading alongside proprietary platforms. There are sound commercial reasons for this. It is a great way to attract new clients as it is friendly among traders.

From a trader’s point of view, knowing the platform allows you to see yourself changing brokers. Versatility means that if you want to hop from one broker to another (to take advantage of better rates or wider trading options), assuming both platforms offer MT4 trading, you can switch without going through the re-learning experience. .

MT4 platform

MT4 can be downloaded directly from MetaQuotes, but it makes more sense to use the download provided by the broker you are considering (or using). This usually means that a free enhancement from that broker is ready and waiting.

Major brokers with MT4 or MT5 integration:

Execute trade

This is a simple process. For example, for currency trading, go to the New Order button on the platform’s toolbar, select a currency pair, enter your position size, select buy and sell limits and stops, and choose your loss limit and profit target.

Using Metatrader 4 Auto Trading – EA

An Expert Advisor (or “EA”) is a program that lets you work on your trading platform to automatically take certain actions on your behalf if certain criteria are met. If you use a commercial EA, you should always make sure it is from a trusted and trusted source. MT4 makes it easy to create your own EAs, or save ready-made programs and basically just drag them into the interface and get your EAs to work. Crucially, this platform will allow you to backtest your EA and get it working in demo mode before your capital is at risk.

Understand MT4 Metrics

From the perspective of brokers and traders, MT4 is highly customizable. Brokers are free to add their own indicators to the platform menu on top of what already exists.

Traders go to that menu and select the indicators they want to add to their chart and how they want each indicator to be visualized in line style and color.

In other words, MT4 allows traders to control what information they rely on and how it is delivered.

 

 

Why use Metatrader4? Other benefits:

Other reasons MT4 has grown to be the market standard include:

  • Large user community –  If you have technical questions or are looking for a different perspective on which indicators are best for your trading activity, we have an international community of users. Whether you are a beginner trader or a seasoned trader looking to assemble your own automated trading aid, the MQL4 community site is worth a visit.
  • Reliable charting – The platform’s combined trading and charting capabilities mean the process of simultaneously trading while analyzing the market is simple. You can be sure that the prices you are seeing are up to date.
  • Stable and secure mobile – Under the bonnet, MT4 is a relatively simple platform. It’s not the system type that affects what devices you have installed. Stability comes with simplicity. One of the reasons brokers and traders prefer it is that it is less likely to stop trading, making it impossible to react at key trading times. Besides the desktop version, there are stable and safe variants for Android, iOS (mac) and Linux.

MetaTrader 4 vs Rivals

“How comfortable are you with this particular platform?”

This is an important question to ask yourself as you scan the market. There is no shortage of brokers that have built their interfaces around MT4. However, this is not the only way.

The way the information is presented shows that not all brokers are “basically the same”.

Where’s next? Find the package that best suits your needs with our latest platform review, including a wide range of brokers offering variations of the MT4 platform.