MetaTrader is a software platform for speculative investors to conduct online forex transactions. If desired, MetaTrader can automatically buy or sell positions based on signals set by the investor based on technical analysis. The platform is offered by various brokers such as FXCM, AVAtrade, Markets.com, Easy-forex and IronFX. Two versions are currently available: MetaTrader 4 (MT4) and MetaTrader 5 (MT5). What can an investor do with both platforms and what is the difference between MT4 and MT5? You can read about it below or visit one of the biggest comparison websites like Commoditytradealert.com
What is MetaTrader?
MetaTrader is a software package created in 2002 by the company MetaQuotes Software. The latest version, MetaTrader 5, was launched in October 2009. MetaTrader was specially developed for individual investors who want to speculate on price fluctuations of currencies. The advanced forex software allows investors to make their own technical analysis of certain patterns on the market, for example using support and resistance trend lines and candlestick charting. The platform then allows for manual or automated trading based on these patterns. Moreover, the analyses can be shared with other investors. The strength of the platform is the balance between very advanced professional tools and the user-friendliness.
MQL expert advisors
MetaTrader has its own programming language, MetaQuotes Language (MQL4 and MQL5). If you learn how this language works, you can use it to write your own forex trading programs that automate your trades. The great thing is that there are also professionals who have already done this for you. They have written MQL scripts based on their own analysis and trading strategy that automatically make trading decisions for you. These scripts are called ‘expert advisors’ or ‘forex robots’. Expert advisors are an attractive way to actively trade without having to go into every trade yourself.
- Note: EA’s are usually not free, and not all EA’s are reliable. Before you blindly entrust your assets to a forex robot, we recommend that you do some research on your own, just as if a living person were to give you trading advice. So ask the maker of the EA on which he bases his decisions, what his track record is, and ask yourself if you trust him.
What is the difference between MetaTrader 4 and MetaTrader 5?
There are some important changes that make MetaTrader 5 a better software package than MetaTrader 4. The user interface of MT5 looks a lot nicer, there are more trend lines and timeframes present, it is easier to manage multiple accounts, etc. One of the biggest growing markets is Colombia, at the moment there are several options to trade with Metatrader 4 at brokers at Colombia with Commoditytradealert.CO
Nevertheless, there are some drawbacks to MT5 which prevent many investors from switching to the new version immediately. There are some practical considerations such as increased RAM consumption and the lack of compatibility of existing analyses which makes migration from one platform to another impossible. Moreover, Metatrader 5 no longer supports the ability to hedging and the display of the technical charts is slightly less large.
- Please also note that MetaTrader 5 is not available on Mac OS X (unless via an alternative solution). Both platforms can be used on Android/iOS tablets and smartphones.
- The choice to download MetaTrader 4 or Metatrader 5 is therefore personal and depends on your profile. If you are already using MetaTrader 4, often hedged or using a MacBook, there are probably too many disadvantages to download the latest version. A beginner with enough RAM on his or her Windows computer better download MetaTrader 5.
Brokers that support MetaTrader.
Besides the technical features, it also plays a role which package is supported by your broker. Not all forex brokers support MetaTrader, and those that do are often limited to MT4. So, sometimes you will have to choose whether you would like to stay with the broker of your choice, or whether you want to choose a broker that supports the version of MetaTrader you want. What follows is an overview of the best known brokers that support MetaTrader. For the reasons mentioned above, the brokers that use MetaTrader 5 are still limited.