Traders worldwide use different platforms to enter and exit positions in the forex market. However, the most popular forex trading platform globally is undoubtedly MetaTrader 4 (MT4). It is widely considered to be one of the best because of its robust trading features and ease of use. This includes automated training, Expert Advisors (trading robots), advanced technical & fundamental analysis tools, trading signals, mobile trading, etc. In this article, we’ll take a closer look at what MT4 offers and why it appeals to global traders.
MT4: Usability
Developed in 2005, MT4 has since become the go-to currency trading platform globally. There are many reasons that millions of traders choose MT4. It has a flexible trading system, with a simple interface, making it highly user-friendly. It has innovative functionalities that are easy to access and is adaptable to the needs of all types of traders, regardless of expertise. MetaTrader 4 allows for easy and quick execution of orders and can be used for web or mobile trading.
Automated trading
One of the most powerful tools available through MetaTrader 4 is automated trading. Also called algorithmic trading, this feature allows traders to develop and use Expert Advisors (EAs) and technical indicators of any complexity. EAs or trading robots as they’re otherwise known are programs that execute trades using technical signals. How these signals perform is based on a predefined set of rules or criteria, indicating when a trade should be opened or exited.
Benefits of using trading robots
1. Minimises emotions
Automated trading reduces the impact of emotive decision-making. Trade orders are executed automatically once specific criteria are met, removing the risk of hesitation or impulsiveness.
2. Ensures discipline
The forex market is highly volatile with unanticipated price fluctuations. Algorithmic trading helps ensure discipline is maintained to curb the impact of emotional factors resulting in adverse trading outcomes.
3. Improves speed and accuracy of trade execution
Millions of trades are executed within seconds on a daily basis. Navigating the speed at which this is processed can impact one’s trading psychology, increasing feelings of stress or fear. Trading robots increase the speed at which trades are opened and closed once specific trade criteria are met, impacting trading outcomes significantly.
4. Diversification of trades to reduce risk
Automated trading enables traders to implement a variety of strategies simultaneously, spreading the risk over different instruments.
Algorithmic trading is not without risk however so vigilance and monitoring are key.
Advanced analysis tools
The MetaTrader 4 platform offers a wide range of technical analysis tools, providing almost everything one needs for forex trading. These capabilities enable traders to experiment with a range of trading strategies, no matter how complex. This includes:
- 30 built-in technical indicators
- 23 analytical objects
- online quotes
- interactive charts with 9 timeframes
Access to this range of tools allows a trader to quickly detect market fluctuations and identify the best time to trade.
Backtesting
MetaTrader 4 also supports backtesting. This means traders can test trading strategies on previous time periods, applying trading rules to historical market data, to evaluate the effectiveness of a range of trades. In this way, traders can optimise their trading plan, to increase the potential for trading success.
Supports complex trading strategies
MT4 offers a level of flexibility that streamlines the execution of trade orders. This includes:
- 3 execution modes, as well as two market orders
- 4 pending orders
- 2 stop orders
- Trailing stop
- Built-in tick chart feature increasing accuracy for identifying entry and exit points of positions
Metatrader 4 – Mobile trading
Traders can trade on the go, from anywhere in the world, using the T4Trade MT4 mobile app. Supported by iOS and Android-powered smartphones and tablets, traders have the ability to trade whenever they want, from wherever they want, internet connectivity permitting.
The mobile version of MetaTrader 4 offers a similar trading experience to its web-based counterpart. It also offers many of the same functionalities such as analysis tools, monitoring of trades, easy-to-access quote charts, and the trading of several different financial instruments with just one click. Easy to download, the mobile app also offers push notifications and the ability to chat with other traders.
Learning how to trade on MT4 through T4Trade
T4Trade is a leading, award-winning forex broker that offers traders access to an extensive variety of educational resources to boost their trading skills. This includes videos, blogs, webinars, LiveTV, and daily market insights.
Open a demo trading account
Sign up for a demo trading account through T4Trade and start learning how to trade on MetaTrader 4. The demo account offers you the opportunity to learn how to navigate the platform using virtual funds, without putting your own funds at risk. Discover all the functionalities and features MT4 offers and test your trades. Once you’ve acquired the expertise needed to open and close positions confidently, consider moving to a live trading environment.
Managing risk
Trading in the highly volatile forex market requires a specific tolerance for risk. Before moving to live trading, ensure you have an effective risk management plan in place to handle the volatility. The plan should align with your trading objectives, trading style, budget, and the level of risk you’re willing to incur. It must also incorporate the measures you will take to reduce risk, like stop-loss or take-profit orders, trailing stops, etc.
Becoming a T4Trade trader
T4Trade’s MetaTrader 4 platform allows traders to put their trading plan to the test by taking advantage of many useful features. Traders are given access to more than 300 financial instruments across 6 asset classes. This includes shares, indices, forex, futures, metals and commodities. Traders can benefit from top features like flexible leverage, tight spreads, mobile trading, in-depth analysis, competitive trading conditions, and other exclusive trading tools.
Disclaimer: This material is for general informational & educational purposes only and should not be considered investment advice or an investment recommendation. T4Trade is not responsible for any data provided by third parties referenced or hyperlinked, in this communication.
