Perhaps due to the growing buzz on the Internet about automated forex trading, those interested in trading the forex market as a hobby or even for a living are increasingly asking the questions: “What is the MetaTrader System and why do so many forex traders use it for automated trading?”
Well, the MetaTrader System is a sophisticated forex market analysis and Internet trading system that can handle the automatic execution of forex and Contract for Difference (CFD) transactions.
Key Features of MetaTrader
Some of the key features of the MetaTrader 4 or MT4 automated trading system include the following:
• Trading and monitoring Forex and CFDs pricing live on the Internet
• Real-time price data that can be exported to Metastock and Omega Prosuite 2000 integrated technical and trading analysis programs.
• A multilingual platform interface that supports all major languages, including simplified Chinese and Japanese.
• A complete technical analysis package which features price and volume charting tools, different time periods ranging from minutes to months, a range of technical indicators, and the ability to create and customize your own personal technical indicators and trading systems.
• An extensive historical price database for all the major currency pairs and crosses, along with data management and import/export capabilities for the data so that you can perform additional analysis using spreadsheets and other software.
• It has an inbuilt programming language known as MetaQuotes Language 4 that allows more sophisticated users and software developers to write custom strategies incorporated into so-called “Expert Advisors.” MetaTrader also has a MetaQuotes Language 4 on-board help guide to assist those who are new to the language.
• The advanced capability to back-test and even optimize the parameters for technical trading strategies and expert advisor software using an extensive database of historical price, volume and technical indicator data.
• The MetaTrader Mobile facility for PDAs that allows you to trade and monitor the forex market while you are away from your desk.
• The ability to open and manage multiple trading accounts using its sophisticated account management tools.
Automation Abilities of MetaTrader
In addition to providing a comprehensive trading and analysis interface, the MetaTrader software package can also be used for manually entering trades and is capable of being fully automated to analyze, monitor and even execute trades on its own or when used in conjunction with “expert advisor” software.
Expert advisors or EA’s typically consist of third-party software like the exceptionally popular FAP Turbo forex trading robot. This sort of trading assistant can either suggest transactions based on market conditions and some expert advisors can even automatically initiate trades according to the software’s pre-determined parameters.
The latter type of EA will usually then subsequently liquidate the trade for a profit or limit the loss of the trade with a stop-loss order once the market reaches the levels it has calculated according to its trade plan parameters.
Overall Benefits of MetaTrader
Basically, the MetaTrader System presents its users with an impressive state-of-the-art forex trading tool. This software package now gives novice and experienced traders alike the opportunity to monitor and trade the forex market with a sophistication that was never previously possible for the general public to take advantage of.
The software is currently available in both its 4th and 5th version release, and it is possible to download on a free trial basis by visiting its official website which is located at http://www.metatrader4.com.
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