Even newbies to online trading have probably heard the name of this platform, often abbreviated as MT4. It is a software much appreciated by many Nigerian brokers, who use it to offer their users a professional platform full of tools for analysis, trend studies, and much more.
The platform also includes bots for automatic trading, particularly used by more experienced investors who can set opening and closing positions and other operations that will be performed directly by the software according to the commands given.
How does it work?
MetaTrader 4 is a complete and professional platform, equipped with a large number of tools to operate in the most diverse markets. To learn how it works, you can count on a series of informative articles, on the simulation bot and customer support. To use it in the best possible way, also setting the numerous possibilities of automatic trading, it is necessary to learn the language: the platform uses a proprietary language, called MQL4.
One of the main features of MetaTrader 4 is that it allows you to place two different types of orders, namely those on the market and those on hold. Market orders are those that are executed on the spot, regardless of the current price of the asset or the type of product in which you want to invest. They can be of four different types, i.e. instant execution, request, market, or stock exchange execution. Pending orders, on the other hand, will be activated only when the price of the reference asset reaches a certain value previously specified.
The choice of one type of order or the other depends exclusively on the trading needs of the operator: both market and suspended orders have pros and cons that must be evaluated before defining the type of trading to be set up. It must be remembered that for each operation a large number of trading tools will be available to verify all the parameters necessary to define the trends of the asset of interest and, therefore, choose the most suitable trading strategy.
How to Trade on MetaTrader 4
To start investing through this platform, you must first proceed with the download. It should be remembered that this platform allows you to operate mainly in the Forex market, as well as in that CFDs, shares, and indices. Depending on the type of investment you are interested in, you can open and close short and long positions, insert stop loss and take profit commands using the various tools made available by the platform.
MetaTrader 4 must be downloaded for free on your computer or mobile device from the official website or from the link that is usually made available on the page of the broker that uses it. It has high compatibility with the most common operating systems such as Mac, Windows, iOS, and Android.
Advantages and Limitations
The main advantage in using MetaTrader 4 is certainly given by the numerous functions that characterize it, as well as by the variability of indicators and trading tools. It also features a demo version, which allows you to learn how to use the different trading tools without risking your capital.
The presence of an internal programming language that offers the possibility to customize investments, as well as to autonomously define investment times and durations, is another very interesting aspect of MT4.
Those who do not have computer skills or are not expert traders can instead opt for the proposals already programmed, that is Expert Advisors which represent a further strength of the platform.
To be objective, however, it should be emphasized that MetaTrader 4 also has some disadvantageous aspects, especially for those who are new to trading. The platform, in fact, despite the possibility of customizing the interface, is not immediately understandable. If you are not already an expert in trading platforms, you may therefore have some initial difficulties in understanding their correct functioning.