MetaTrader 4 is like a veteran when it comes to trading platforms, as MT4 has paved the way for many forex trading platforms by serving as the standard for all new platforms. MT4 was one of the few platforms designed specifically for forex traders at the time of launch, as all other platforms were more focused on other asset classes. Forex trading was very different from trading other financial markets, and the features offered by MT4 managed to grab the attention of traders, making it the No.1 forex trading platform on a global level. Today, you will learn about the key functionalities of MT4 and ways to integrate it for a superior trading experience.
What Exactly Is MetaTrader 4?
MetaTrader 4, or MT4, is a trading platform that can be used to access various financial markets and carry out trading with different instruments. However, as mentioned in the introduction, MT4 is primarily known as a forex trading platform, even though it offers other asset classes. The inclusion of different trading tools and features makes MT4 a perfect platform for Forex trading, but at the same time, other assets can also be traded on this platform.
MT4 was launched in the year 2005 by MetaQuotes Corporation and was well-received by traders from all parts of the world due to its intuitive and user-friendly design combined with powerful tools, feature-rich layout, and advanced functionality. The platform kept growing with many updates that developers added, and it is still the most preferred trading platform after all these years.
The platform has a traditional touch, making the trading process smoother and easier for all types of traders and making it suitable for all beginners and experts alike. The platform has all the basic to essential features, but at the same time, it is not overloaded with complex tools, which makes it a perfect place for traders who like to keep their trading simple without any fuss.
MT4 is also being supported and offered by almost every forex broker, making it easily accessible and usable for all of us. You just need to find the ideal broker for yourself out of the countless options available, download or install the software, and then sign up for an account to kickstart your trading journey with the classic MT4 platform.
Order Types Supported by MetaTrader 4
One of the main features a trading platform needs is the ability to place different types of orders. So, let’s have a look at the order types that MT4 supports.
- Instant orders or market orders: The first option you get is pretty simple—placing an instant order that gets executed instantly without any delay. This type of order is popularly known as a market order, as the order gets executed at the current or live market price.
- Pending orders: The second option on MT4 is the ability to place pending orders that are not immediately executed as you are placing them with a price-based condition. They will remain pending until the trading instrument moves to the price that you specified while placing the order.
On the MT4 platform, you get to place 4 different types of pending orders.
Pending Order Types for Buying
- Buy Stop: In this type of order, the trader wants to buy the currency pair at a price which is higher than the price at the time of placing the order. So, this type of order will get executed only after the instrument price moves up, reaching the specified price.
- Buy Limit: This is another type of buy order, but the specified price will be lower than the current market price.
Pending Order Types for Selling
- Sell Stop: This is a type of order in which you specify to sell the currency pair at a price lower than the current market price.
- Sell Limit: In this type of order, you want the sell order to get executed once the price increases from the current price reaches the specified price.
The Platform Interface and Key Features
As I said earlier, the interface of the MT4 platform is simple and organised. You will be able to see the following menu options on the interface.
- File: The File menu is commonly seen in most software and is on MT4 as well. Here, it provides all commands for managing the trading account profile of the MT4 user.
- View: From the View menu, you can manage the toolbar and windows along with the programming languages.
- Insert: By clicking on the Insert menu, you will be able to add various instruments, lines and indicators to the charts. It is used to insert anything you need for technical analysis.
- Charts: The chart menu can be used to modify your charts with the settings and control commands. You can also control the indicators from the Chart menu.
- Service: From the Service menu, you can control the platform settings, and it also allows you to create new orders.
- Window: The Windows menu has all the commands for managing various chart windows.
- Reference: The Reference section has a section for technical analysis along with various additional commands you may need while trading.
Now, talking about other functions of MT4, you get a set of customisable and interactive charts for detailed technical analysis. You also have 9 different time frames to choose from and 30 built-in indicators. MT4 also provides 20+ analytical objects to users. As you can see, the platform interface is easy to navigate, and you can also try out all these tools on your MT4 demo account to learn to use them properly before live trading.
Benefits of MetaTrader 4
- Beginner Friendly: One of the primary benefits you get with MetaTrader 4 is the beginner-friendly interface and layout, which makes trading easier for a newcomer. Even a complete beginner can learn about the platform and use it well by relying on MT4 tutorials or even on their own. The MT4 software is designed to be user-friendly and simple for all types of users, especially first-time users. The platform only has the most needed and relevant tools and indicators, so you won’t be overwhelmed with overloaded features and options. Besides the tools offered by this trading platform, you will also require other trading tools for forex trading to calculate different values necessary in trading, like pip values, leverage, margin, position size, profits, etc. You can easily find a trading calculator that calculates all these things accurately for you to place your trades smartly.
- Compatibility: MetaTrader 4 is a platform compatible with many different systems and devices, including Windows, Mac, Android, and iOS. You can always find the suitable version for your PC, laptop, tablet, or smartphone. Installing or downloading MT4 is also very simple, and it gets completed quickly if you have a decent system or device and a stable internet connection.
- Stability and Security: Trading software always needs to be stable and secure for a smooth and hassle-free trading process. MetaTrader 4 is known for its speed and stability, which is the reason behind its popularity and acceptance among traders. If you choose MT4 as your trading platform, you will get a seamless and secure trading experience.
- Broker options: The trading platform or software is just an interface for accessing the market, as you will have to sign up with a broker for a live trading account for actual trading. The broker you choose must support and offer the platform on their website. So, the number of options you get for brokers depends on the platform you choose. MT4 is highly popular, and it is rare to find a broker not offering MT4 trading, so you will have a lot of brokers to choose from.
- Automated trading: Traders who are into automated trading can also benefit from MT4 and its algo-trading features. MT4 provides a bunch of expert advisors to choose from for a hands-free trading experience. So, the platform is perfect for trading automation as well.
MetaTrader 4 Integration
If you are a broker trying to integrate MT4 as your trading platform, then you have 2 options: one is purchasing a licence for the software as a brokerage. The second option is choosing a white label solution, which is like using the MT4 platform for rental as another broker owning the licence allows you to integrate it as your own.
Conclusion
To sum it up, MetaTrader 4 is one trading platform that has passed the test of time, as it continues to stand strong among many new competitors. So, make sure you check it out, as it has a lot of powerful features and tools for forex traders.
Image Credits: m_____me
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