Although the underlying perspectives for MT4 and MT5 are nearly identical, MT5 has several favorable characteristics that a trader should know. Most retail traders utilize MT4, which is a top-notch forex trading platform. But MT5 is a significantly improved version of MT4 that has been enhanced.
Retail trading on the FX market is gaining popularity daily. Finding a forex trading solution with incredible features is now essential. Thus, the most accessible and user-friendly platform for retail traders is MT4 and MT5. The appearances of MT4 and MT5 are nearly identical, but MT5 has incredible characteristics that MT4 does not.
We shall examine the top five incredible features of MT5 in this article. Before moving on, we must first understand how the forex trading platform is a crucial component of retail trading. Let’s go!
The Forex Market and Retail Traders
The forex market represents a venue to exchange commodities and profit from the fluctuating value of various currencies. Using computer systems, forex trading is conducted over-the-counter (OTC) digitally between traders and financial companies worldwide.
However, technological advancement has significantly increased the number of retail traders in the forex market. On a computer screen, traders can quickly purchase and sell currencies to generate revenue.
Platforms for Trading Forex
Both retail and institutional traders can use the trading platforms. Institutional trading is a costly and intricate operation. The maker of the MetaTrader 4 and MetaTrader 5 platforms, Metaquotes Corp., dominates the retail trading software market.
MetaTrader 4
The most popular retail forex platform is MetaTrader 4, which is mainly used for trading currencies. The retail forex market is new to the sector. Hence, it only had MetaTrader 4 and no other trustworthy software.
MetaTrader 5
MetaTrader 5, now the most incredible forex trading platform available, is comparable to MetaTrader 4. MetaTrader 4 and MetaTrader 5 are beneficial. Hence, it is conceivable to expand those usages in the upcoming times. Also, it offers additional functions and a significantly higher number of indicators.
NinjaTrader
In 2004, this trading platform was developed. It was created for professional FX, stock, and futures traders. Sophisticated charting tools, trade simulations, and strategy development are available on this trading platform. Anyone who wants to perform transactions from their platform must either purchase a lifetime license or promptly lease the platform.
cTrader
Spotware is developing this trading platform as a rival trading platform. This trading platform’s comprehensive charting tools, functionality, and layout are comparable to the MetaTrader platform’s. Most traders favor using it on mobile devices like Android and iOS rather than a web browser.
Five Incredible Characteristics of MT5
When MT5 and MT4 are compared, MT5 has several capabilities that the majority of MT4 users are unaware of. When you download metatrader 5 for pc, below are a few amazing features that you’ll find
Different Timeframes
Time exists as a crucial factor for any forex trader. As is well known, reputable financial institutions and central banks control the forex market. Thus, it’s critical to comprehend what the market’s significant participants are accomplishing. Larger institutions engage in more frequent currency trading.
That explains the tremendous financial investment in their research and why their trading method uses a longer duration. Yet, because each demands a great deal of cash and perseverance, it might be challenging for retail traders to trade in more extended time frames. As a result, several traders in the zone employ shorter time frames in their trading strategies. They also monitor extended time frames to observe the significant players’ actions.
MetaTrader 5 includes 21 different timeframes, spanning from 1-minute charts to 1-month charts, as opposed to MT4, which only featured nine periods. Time disparities allow traders to view the market from several angles. This is one way timing affects traders’ decisions.
Technological Significance
38 built-in technical indicators in MT5 are helpful to traders. Specific indicators are only visible on the MT5 platform, even if most are accessible on MT5.
Besides that, traders can employ a variety of personalized indicators using MT5. On the MT5 platform, making personalized indicators is simple. Yet, traders can choose from a wide selection of free and premium indicators at MQL5.com.
Visual Elements
A trader ought to be mindful of the various chart patterns that may be made using multiple graphical elements. This is because the chart pattern is essential for price action traders. A trader can use one of the more than 44 graphical components in MT5 to spot patterns on charts.
Expert Advisors
There are pre-written algorithms called expert advisors. Traders can create any sophisticated expert advisor or automatic trading robot using MQL5. They can also utilize EAs from the free source “Code Base” and the designed app store “MetaTrader Market.”
Data for Actual Volume
When you download MT4 for pc, you can’t view actual trading volumes like contracts or lots. They can only evaluate the tick volume data. The quantity of price fluctuations on a specific candlestick bar is known as the tick volume.
However, real traded volume data, not just tick volume data, is available to traders in MT5. This feature will become available after clicking on the chart.