MetaTrader 4, also known as MT4, is a free platform for forex trading including currency pairs and other financial instruments such as CFDs, indices, futures, commodities, and even cryptocurrencies. The platform was created by MetaQuotes Software back in 2005 and is by far the world’s most popular online forex trading platform, with the best forex brokers using it as their main platform.
Despite the release of MetaTrader 5 platform in 2010, MT4 is still the top used platform due to its functional features, proven reliability, and increasing global popularity among brokers and traders.
Moreover, the platform enjoys a user-friendly interface and provides ample opportunities to traders of all skill and experience levels.
MetaTrader 4 Overview
MT4 is a very easy platform for both traders and investors to execute and manage market positions. MetaTrader 4 supports different trade execution modes and order types. There are also quick trading functions that allow you to execute trades directly from the chart with only one click.
What are MT4 Trade Execution Modes?
MetaTrader 4 offers three trade execution modes which are; instant execution, execution on request, and execution by market. Instant market execution is executed at the price offered to the broker. If the broker accepts the prices, the order will be executed then. If not, the so-called “Requote” will occur; where the broker returns prices at which the order can be executed.
Execution on Request is when the market order is executed at the price previously received from the broker. Prices for a certain market order are requested from the broker before the order is sent. When the prices come, order execution at the given price can be either confirmed or rejected. Execution by market allows brokers to make a decision about the order execution price without additional discussion with the trader. Sending of the order in such a mode means advance consent to its execution at this price. Note that the execution mode for each security is defined by the forex broker or brokerage company.
What Order Types does MT4 provide?
- Market Orders
Market order is a direct commitment to buy or sell a security at the current prices. Execution of this order means opening a trade position instantly through which securities are bought at the Ask price and sold at the Bid price. Stop Loss and Take Profit levels can be attached to the market order. However, the execution mode of market orders depends on security traded.
- Pending Orders
Pending orders are the client’s commitment to buy or sell a security at a predefined price in the future. MetaTrader 4 platform offers four order types of pending orders:
- Buy Limit – to buy when the future “ASK” price is equal to the pre-defined level. In this case, the current price level is higher than the value of the placed order. Orders of this type are usually placed when the trader is anticipating that the security price will fall to a certain level, before rising again.
- Buy Stop – to buy when the future “ASK” price is equal to the pre-defined value. In this case, the current price level is lower than the price level of the placed order. Orders of this type are usually placed in anticipation of the security price, having reached a certain level, will keep on increasing.
- Sell Limit – to sell when the future “BID” price is equal to the predefined value. In this case, the current price level is lower than the value of the placed order. Traders use this type when anticipating that the security price, having increased to a certain level, will fall.
- Sell Stop – to sell when the future “BID” price is equal to the predefined value. The current price level is higher than the value of the placed order in this case. It is used when traders are expecting the security price to keep on falling, having reached a certain price level.
Stop Loss and Take Profit orders
A Stop Loss order is used to automatically close a trade when the price reaches your set price level. It is usually placed with a market or a pending order. This order can help in minimizing the losses if the price begins moving in the opposite.
A Take Profit order is used to automatically close a trade when the price reaches profit levels. On the contrary to Stop Loss, Take Profit is intended for keeping profits.
Benefits of MT4 Platform for Forex Traders
The MetaTrader 4 platform offers real-time access to market prices and liquidity. Traders are able to view all details including spread, contract size, margin currency, and margin percentage. MT4 provides extensive tools for price analysis with a set of in-built technical indicators and charting tools.
Another major benefit is that MT4 is considered a highly secure and stable platform as data exchange between client terminals and servers is encrypted. Also, IPs of traders are hidden which enables traders to execute transactions in a highly secured way.
Trading on-the-go is another worth noting benefit. The MT4 platform is fully compatible with most PC and mobile devices, so gives you the power to access the market wherever and whenever you want, and keep up-to-date with current market activity from the convenience of your phone or laptop. For professional traders, the MT4 platform allows you to manage multiple forex trading accounts effectively and professionally.
So why is MetaTrader 4 so Popular?
MetaTrader 4 has a very user-friendly interface, which enables new and experienced traders to trade with ease and comfort. Traders of all levels find this Forex platform easy to use. You can download the MT4 platform for your home computer, tablet, and phone.
MetaTrader 4 was designed to support all currency crosses as well as the ability to trade other markets including commodities, trading cryptocurrencies, futures, and stocks. It also supports full customization features, so you can tailor the platform to meet your trading practices. Not to mention that advanced charting enables traders to trade and analyze the technical aspects of the market simultaneously.
Join AximTrade and Download MT4 Platform
The first step to access the financial world and investing in forex trading is to register an account and create your trading portfolio. Choose from various forex account types, based on your trading strategy, experience, and capital designed for investment. Once you’ve created your account, you will receive the MT4 details which include the server address, user name, and password. Download the platform from the website after you select the OS and device type. The MT4 is available in different versions for both Mobile and Desktop.
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