Do you know the significance of MetaTrader and its platforms in the world of trading? Let’s read this blog and find out the factors that make this platform more vulnerable among all the trading platforms.
In the trading industry, one of its major supports is MetaTrader, which was created and developed by MetaQuotes Software Corp. It stands as a top priority for traders because it offers multiple platforms, such as MT4 or MT5. They have vibrant environments in which traders have access to a batch of instruments and functions for trading within a demanding financial pace.
Since its foundation, it has been a prominent trading platform that has influenced the financial market enormously. However, considered a simple trading platform, it can be seen as a multipurpose tool appropriate for traders of different skill levels. The authenticity that it has become worldwide accepted volumes about its trustworthiness and functionality for conducting online transactions.
Highlighted Features of MetaTrader Platforms
It operates at both ends of the trading spectrum, facilitating services for both parties. It provides experienced traders with the instruments they need to conduct complicated strategies. While at the same time giving beginners an inviting starting point, paired with an encouraging group of like-minded people, all while enjoying a rich learning environment.
It is an immense trading platform that has various specific features that make it popular and useful among traders. Let’s discuss some of these highlighted features.
User-Friendly Interface
Meta Trader’s friendly interface provides a way in for beginners and experienced traders alike. The user interface delicately gives aesthetic and yet simple functions such that traders don’t face difficulty in locating and carrying out their operations in MT4 or MT5.
Charting Tools
The vast range of charting tools available in MetaTrader testifies to its dedication to providing sophisticated analytical capabilities to traders. These go beyond the basics in that they provide more than fifty different technical indicators, oscillators, and drawing tools.
Charting can be made flexible enough for traders to select how best they want to analyze by choosing particular techniques. Its charting tools contain trend analysis and pattern recognition that allow traders to make accurate decisions during volatile market conditions.
Automated Trading
Automated trading using forex expert advisors gives an edge to traders who desire speed and accuracy in their trading orders. The automation in the platform goes beyond merely executing trades; EAs have been programmed to handle risk, revise positions, and respond according to market movements without needing trader supervision.
Multiple Asset Support
The growth from MT4 to MT5 was quite widespread; however, it mainly focused on multiple-asset support. MetaTrader 4 is more concentrated on forex, but with MT5, they extended their reach to offer commodities, indices, stock market, and cryptocurrencies.
The multi-asset nature of it allows traders to explore opportunities in several financial marketplaces, all under one roof. It is also convenient because it allows easy switching between assets.
What is the MT4 Platform?
MT4 is the most prominent online trading platform used by forex traders. It was released in 2005 and provides millions of traders easy access to financial marketplaces. Although MT4 was specially developed for forex trading, the platform can also be used to trade other assets like stocks, indices, and commodities through CFDs.
Both newbies and experienced traders appreciate MetaTrader 4 because it is multi-functional, easy to navigate, and gives the ability to users to customize the interface according to their needs. It also provides trading instruments that allow traders to apply their favorite strategies.
What is the MT5 Platform?
It is the most advanced multi-asset trading platform that was released in 2010. MT5 is faster and has more functionality than its precursor, but it does not replace the MT4 platform because it is different and offers more than MT4 does. MetaTrader 5 gives the ability to trade with more advanced tools in almost all financial markets, including forex, stocks, indices, commodities, and digital currencies.
MT5 gives all the significant instruments for successful trading. It provides advanced technical and fundamental analysis, trading trends, algorithmic and copy trading as well as expert advisors.
Comparison Between the features of MT4 and MT5
Bit Version
MT4 is a 32-bit single-thread platform, while MT5 is a 64-bit multi-threaded platform. Although the multi-threaded platform makes MT5 a much quicker and more efficient trading platform.
Time Frames
Timeframes help traders analyze trading, using charts for specific periods such as minutes, hours, days, weeks, and months. MetaTrader 4 only offers 9 timeframes, such as M1, M5, M15, M30, H1, H4, D1, W1, and MN. However, MT5 offers 21 timeframes, such as M1, M2, M3, M4, M5, M6, M10, M12, M15, M20, H1, H2, H3, H4, H6, H8, H12, D1, W1 and MN. It is a wide range of timeframes that gives traders an advantage for deeper analysis of market movements.
Graphical Objects
For analytical causes, we utilize graphical objects, such as text labels, graphs, bitmaps, arrows, etc. MT4 provides 31 graphical objects, while MT5 offers around 44 graphical objects. These instruments help to mark patterns, areas, and levels on the chart.
Technical Indicators
When we discuss technical analysis, both MetaTrader platforms are highly efficient. However, technical indicators predict future pricing changes. MT4 offers 30 indicators, while MT5 empowers you with 38 indicators for technical analysis.
Back Testing
Both platforms have the feature of backtesting but with a little bit of difference in both of them. In MT4, backtesting can be done only through a single pair, which makes the process time-consuming. MT5 comes with three features such as multi-thread, multi-asset, and real tick feature, which make it a lot easier.
Pending Orders
MT4 has four different kinds of pending orders: buy limit, buy stop, sell stop, and sell limit. On the other hand, MT5 provides six different kinds of pending orders such as buy stop, buy limit, buy stop-limit/buy limit, sell stop, sell limit, and sell-limit/sell-stop limit.
Programming Language
MetaTrader 4 comes integrated with the MQL4 programming language, and it is a high-level object-oriented language. These programs help to formulate automated trading strategies and customized technical indicators for analyzing financial markets. It focuses on nourishing the trading platform based on the trade system. This programming language requires several functions.
MT5 is built on an MQL5, and traders use this language to establish a positional system. With this programming language, traders can change and write new scripts.
Sum Up
In this blog, we have shared all the necessary information regarding the MetaTrader platform and its features. It provides two platforms for trading such as MT4 and MT5. Both platforms are best at their place, but most of the traders and brokers’ first choice is MT4 because of its simple and efficient interface.
