There was a massive shift in traders’ view of the market after mt4 introduction in forex trading in 2005. Not only was analysis simplified, but a chunk of forex traders discovered forex trading so reliable that they invested heartily in it.
A few years down the line, MetaQuotes created mt5. A chunk of traders initially questioned the need for another trading platform when most of them were pleased with mt4. Some years later, the traders realize the logic behind the mt5 invention.
The more exciting part is that despite the continuous growth of mt5 in the market, majority of brokers and traders still find mt4 their ultimate trading platform.
So, between mt4 and mt5, which one should you use and how? Read on to find out.
Why You Need to Start Using a Modern Trading Platform
Despite the soaring forex trading automation, some forex traders still rely on traditional analysis. That begs for the question, “What do you lose by not using either mt4 or mt5?” Here are the ways the platforms can positively affect your forex trading.
Information = Power
A forex trader with the appropriate data at the suitable time is likely to grab opportunities. And make a kill for every trading action they undertake. The best way to be informed is to get instant price changes in the market.
For example, both mt4 or mt5 trading platforms avail you of real-time prices.
As a result, you can track many currencies at a time and maximize each one’s potential through day trading. You can easily change your trading strategies with reliable, instant data from the forex market.
Straightforward Trading = More Freedom
The two modern trading platforms enable you to automate forex trading. Forex trading automation means dedicating a bunch of trading decisions to a machine.
The computer, mainly a collaborative robot, lets you initiate critical forex trading decisions, such as take-profits and stop-loss orders.
You can then focus on more sources of income besides forex trading. For instance, mt4 avails to you Expert Advisors. They track market changes as they strive to handle your trades profitably.
Ease Technical Analysis
You may also seek to understand why prices change. Most importantly, you can scale down your market awareness by predicting when the volume and prices of currency pairs are likely to change.
Fundamental analysis is where you seek to find out how economic, political and social factors in the market affect a currency pair.
Then, you can use the numerous charts that mt4 and mt5 provide to monitor the currency quantity and when to trade your target currency pair for maximum gain. The most popular technical indicators on the two platforms are MACD, OBV, MA, ADX and RSI.
Enjoy Peace of Mind
Apart from speeding up forex trading freedom and power, mt4 and mt5 enable you to trade stress-free. Your trading account is safe from hackers. That is possible through the RSA digital hashing technologies that are difficult to break.
The stability and speed of executing orders give you the comfort of undertaking trades any time you want.
Additionally, the platforms enable you to access your account anywhere through their cross-platform accessibility. For example, you can use your mobile, laptop, PC, Mac, or Linux platforms to trade effortlessly.
The Best Time to Use Each Platform
It is evident that mt4 is here is to stay despite the growth of mt5 in the market. It would be best to use mt4 if you are a beginner forex trader because Mt4’s interface is easier to use than mt5.
As a beginner forex trader, you have just created your forex account and traded a few currency pairs. Also, you could be venturing into technical analysis.
After managing a trading account for an extended period and having a solid knowledge about forex trading and analysis, you should dive into mt5. It presents you with more markets, tools, and better trading algorithms.
It would be best to rely on mt4 if you are a beginner forex trader. Later, you can start exploiting the speed and more trading resources in mt5.
For instance, you can access unlimited indicators, test various currencies, and have numerous trading timeframes.