MetaTrader 5 (MT5) is among the most used trading platforms worldwide. It has a simple interface designed to suit both new and experienced traders. This guide goes through MetaTrader 5, how to install it, the difference between MT4 and MT5 platforms, and how to use the functions of MT5.
Key Takeaways
MetaTrader 5 is a trading platform that supports multiple markets, including forex, stock, and commodities.
It has different tools for traders, including technical indicators and charting options, to assist in making decisions.
MT5 also offers two types of trading: algorithmic and copy trading. These trading models enable users to program and execute trades or mimic those of other traders.
Stop-Loss and Take-Profit are great tools which can help minimise losses and protect capital.
MT5 is offered on three interfaces: Desktop, Mobile, and Web.
MetaQuotes Software developed MetaTrader 5 (MT5) as a multi-purpose trading platform. It was introduced in 2010 as a successor to MetaTrader 4 (MT4) to enable traders to place trades in different financial markets, including forex, stocks, and commodities. It has been able to attract many investors due to the availability of different features, such as the variety of chart types, timeframes, indicators, and advanced trading options like automated trading.
Whether you are a novice or a more advanced trader looking to improve your trading experience and knowledge, this guide will help you understand all about MetaTrader 5 – from opening your account to managing your trade risks.
What is MetaTrader 5 (MT5)?
MetaTrader 5 (MT5) allows users to trade in different markets by offering multiple helpful features. It was developed by MetaQuotes Software as an improved version of MT4 with more features and trading tools. MT5 was introduced in the market in 2010 for traders who wanted more than what its earlier version, MetaTrader 4 (MT4), offered. MT4 primarily focuses on forex, while MT5 adds more features, including stocks, commodities, and equities to cater to different types of traders.
Key Features of MT5
Multi-asset trading: Trade in forex, stocks, commodities, and more, all from a single account.
Advanced charting tools: It supports 21 timeframes and three chart types, and offers more than 80 built-in indicators.
Economic Calendar: Insight on planned economic events that may impact the market.
Automated trading: Trade automatically using Expert Advisors (EAs).
Copy trading: Copy the trading strategies of successful traders.
Key Differences between MT4 and MT5
Asset Classes: MT4 is mainly designed for forex trading, whereas MT5 is more versatile. In addition to forex, you can trade commodities, stocks, and indices.
Timeframes: MT5 has 21 available timeframes for analysis compared to nine of MT4.
Order Types: MT5 offers more order types, including Buy Stop-Limit and Sell-Stop Limit, which are unavailable in MT4.
Setting up MetaTrader 5
MetaTrader 5 installation is straightforward. First, you need to download and install the platform. You can get MT5 by visiting the MetaQuotes website or via your broker, such as BitDelta Pro. The installation is easy, and once complete, you can log in using your BitDelta Pro username and password or create a new account. When it comes to registering with MT5, you have the option to either open a demo account or a real account. A demo account is suggested for beginners since it allows them to practice in the market using virtual currency. Once you are through with the demo account, you can move to a real account to trade with real money.
Overview of the MT5 Interface
Market Watch: This shows a list of the available assets and their prices at the time the list is created.
Navigator: Stores your account settings, properties, EAs, and scripts.
Terminal: Used for showing the trading history, the presently open trades, notifications, and other relevant details.
MT5 Tools and Features
MT5 is famous for its extended arsenal of tools and features, which help in developing trading strategies and market analysis. Below, we will briefly discuss some of the key features.
Charting tools and indicators
MT5 has better charting tools, enabling traders to accurately study price trends. There are three types of charting tools:
Candlestick
Bar
Line
MT5 also has 21 options for timeframes, ranging from one minute to a monthly timeframe, to accommodate a wide range of market perspectives.
Custom Charts
When you want to change the chart, right-click on any chart and then choose ‘Properties’ to adjust it. You can customise colours, types of charts, and gridlines or choose to include or exclude some of them. This means you can design the exact trading environment in which you are most comfortable to trade in.
Multiple Time Frames and Symbols
This is where MT5 comes in; you can watch several assets at the same time. The platform offers trading opportunities in different instruments, including currency pairs, commodities, and stocks. It also has options to choose between time intervals (1 minute, 5 minutes, 1 hour, and so on) to get a broader perspective of short-term and long-term trends.
Technical Analysis Tools
MT5 has more than 80 technical indicators included in its set of indicators, such as Moving Average (MA), RSI, Bollinger Bands, etc. These tools assist traders in analysing market trends and finding promising trading opportunities to invest.
How to Start Trading on MT5?
Once you are familiar with the platform, it’s time to make your first trade.
Understanding order types
Market Order: Trade at the given market price at the time of placing the order.
Limit Order: Choose the exact price you wish to trade at.
Stop Order: Place an order once the price touches a certain level.
How to Deposit Money in MetaTrader 5?
A common question about MT5 trading platforms is, “How do I transfer money to MT5?” Here is how it all works on BitDelta Pro. You must Log-In with your BitDelta Pro account, choose a deposit method, enter the amount, and complete the transaction. Without a broker account – in this case, BitDelta Pro – you cannot deposit funds into your MT5 account.
How to Trade on MetaTrader 5?
To enter a trade, choose the asset you want from the ‘Markets’ window.
Right-click the mouse on the chart and choose ‘New Order’, or click ‘New Order’ from the toolbar.
Define the trade volume. Choose either Stop-Loss or Take-Profit.
Select between the two options: ‘Buy’ or ‘Sell’.
Finally, decide on the amount to buy/sell and confirm.
After you have entered your trade, it will be displayed in the ‘Terminal’ window in the ‘Trade’ section. You can modify or close trades from this section. Depending on the market’s movement, you must monitor your trades and modify your Stop-Loss or Take-Profit.
Advanced Trading Features
You will find several different features in MT5 that can help improve your trading results.
Trading with Expert Advisors (EAs)
Expert Advisors (EAs) often use advanced Exponential Moving Average (EMA) data to find out the best trades for you. You can design or obtain ready-made systems, known as algorithms, to perform trades that meet certain criteria. This is very helpful for traders who wish to follow a specific plan but do not want to place trades on their own.
Copy Trading in MT5
Another feature of MT5 is copy trading, which allows you to copy the trades of a successful trader’s actions. When you follow a trader’s successful trade actions, MT5 will mimic those actions in your account instantly.
Depth of Market (DOM)
Depth of Market (DOM) is a tool that shows the order book at various price levels of an asset. It helps stock and futures traders interpret the supply and demand for products in the market.
Risk Management on MT5
It is hard to overestimate the importance of risk management in trading and, in general, any business. MetaTrader 5 provides the tools to manage risks properly, including:
Stop-Loss and Take-Profit Orders
Stop-Loss: Closes a trade once the market price reaches a certain level to minimise the loss.
Take-Profit: Closes a trade once the price reaches your specified target to make a profit.
Position Sizing
Position sizing is the process of deciding the amount of capital you would like to use per trade. Adhering to the right position sizing is vital in risk management to avoid big losses.
Monitoring Risk
MT5 helps manage risk by providing accurate account balances, stats, margins, and trades currently open. These tools help in managing risk by preventing traders from losing more than anticipated and allowing them to realise profits.
Mobile Trading on MT5
MetaTrader 5 is also available as a mobile application, making it handy for traders who want to stay updated with markets at all times.. The MT5 app can be downloaded from the iOS App Store or Google Play for Android. After installation, you must enter your account details to start trading. The mobile version contains most of the functionalities of the PC version, including charting tools, order placement, and notifications. Some of the mobile app features include:
Real-time price updates
Analysing tools with the use of different time frames
Ordering and tracking
Pricing alerts and notifications on major market developments
Trading on the go
Mobile trading allows traders to adjust their trades when they are away from their PCs. This allows traders to act quickly on changes in the market and never miss an opportunity to enter the markets.
MetaTrader 5 WebTrader
If you do not prefer to install the app, you can use MetaTrader 5 WebTrader, available directly from any browser. To open the web version, follow the link MetaQuotes WebTrader and sign in using your broker profile. You can use the web version if you are trading from a device on which you cannot install an app. The mobile version, WebTrader, is almost identical to the desktop platform. You can review market data and trade, and apply technical analysis indicators within your browser.
The main difference between the desktop and web versions is that the latter does not support features like algorithmic trading and fully adjustable charts. Nevertheless, it is a good choice for regular trading or for those who want to manage their accounts using several devices.
Tips for Beginners
Trading with MT5 can be confusing, but these tips will help you make the right decision:
Start with a Demo Account: Allows traders to trade with virtual money. The Demo Account is handy for new traders, as it helps them sharpen their skills without losing real money.
Use Stop-Loss Orders: Always remember to protect your capital when trading by using Stop-Loss orders for every trade.
Learn Technical Indicators: Become familiar with some of the features of MT5 to increase your chances of making the right decisions.
Use Leverage: Leverage means that you can manage a big position out of a small capital. While this can increase your profits, it can also lead to higher losses. Therefore, make sure that you are aware of the risks associated with using leverage and that you use it responsibly.
Final Words
MT5 is a versatile trading platform that offers everything you need to trade in the financial markets of your choice. Its features – from advanced charting and analysis tools to automated trading – will assist you in increasing your chances for profit and becoming a more professional trader. If you already know what you want and are ready to start trading, sign up for BitDelta Pro and see what MetaTrader 5 can offer. Regardless of your level of experience, you can reap all the benefits of MT5 as a trader.
FAQs
You can download the app from MetaQuotes’ official website or a broker’s website, like BitDelta Pro.
In MT5, there are more assets, more timeframes, and additional features, including an economic calendar.
Yes, you can apply Expert Advisors (EAs) to automate your trading strategies.
You can download the MT5 app from the App Store or Google Play Store to trade on your iOS or Android device.
Choose the forex pair you want to trade, open the order ticket by setting the trade volume, and press either 'Buy' or 'Sell'.
You must log-in with your BitDelta Pro account, choose a deposit method, enter the deposit amount, and complete the transaction to make a deposit to your MT5 account. Without a broker account, in this case, BitDelta Pro, you cannot deposit funds into your MT5 account.
Yes, MT5 supports automated trading through Expert Advisors (EAs). These are programs that analyse market data and execute trades based on pre-set strategies. You can either create your own EA using the MQL5 programming language or download pre-made EAs from the MetaTrader marketplace.
DISCLAIMER
This communication is for informational and educational purposes only and should not be construed as financial, investment, or legal advice. BitDelta Pro does not guarantee the accuracy, completeness, or timeliness of the information provided. Trading in traditional securities (such as forex currency pairs, stocks, bonds, and commodities) carries inherent risks, including potential loss of principal. Users are encouraged to carefully evaluate their financial objectives, conduct their own research, and seek independent financial advice before making any trading decisions. BitDelta Pro is not liable for any losses or damages resulting from actions taken in response to this communication.
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