In this article, we’ll look at three important elements you need to understand to effectively use the MT4 MetaTrader platform to trade the forex market:
– First, we will discuss how to make sure you can see all the tools available for trading.
– Next I will talk about how to use one of the best kept secrets of MetaTrader, combining indicators so that the indicator comments on the effectiveness of another indicator.
– Finally, I will consider one of the best ways to use pips in motion while delaying stops. Afterwards you will be able with confidence and ability to start fighting the platform and start trading successfully using MT4.
First, let’s deal with the problem of having a couple. When you first install MetaTrader (MT4) you do not see all the available pairs that your broker offers. I have no idea why, but it can be dangerous depending on your trading style. Quite a few traders look at one currency pair to find out what the other will do. This is called correlation. For example, if EURUSD rises, then usually USDCHF goes down. You can see a clear pattern on the USDCHF chart, but not on EURUSD. Because of this observation you have a high degree of confidence that EURUSD will move in the opposite direction as seen in the USDCHF charts. With all the available graphics, you increase your style and choice.
Before you start trading with EURUSD or USDCHF based on the correlation we discussed earlier, you can add and combine indicators. By doing this, you can gain additional insight and increase your chances of success. Once you have placed your first indicator on the chart, you want to drag the second indicator from the navigator window directly to the top of the first (remember that you can only combine the indicators in the same part of the chart). After the indicator settings window pops up, you want to select the “Apply to:” field and select “First indicator data”. Here’s a practical example: suppose you have a volume indicator on your charts and you want to see which averages 10 periods. You have an idea that you will make a deal if the volume exceeds this average by 2 times. First, drag the moving average indicator out of the navigator window and lower it over the volume indicator. Select the Data of the first indicator in the Apply to and all field. Now the moving average line looks at the volume, not the price (which it has by default). Take some time to experiment with combinations, as you may especially like it.
Finally, let’s talk about protecting your hard-earned profits. Now that you’ve pulled the trigger and placed the deal, you can now implement the tool to make sure you don’t want to return any items back to market. You can do this by putting a final stop to your order. The closing stops follow the market and move the stop loss depending on your settings. Right-click on the transaction in the terminal window and select “Final Stops”. Then you can choose the appropriate level depending on your trading term. Upon completion the system will automatically move your stop loss when the market moves in your favor, fixing profits and protecting you. It is important to note that this feature only works if your computer is turned on. If you turn off the computer, the function will stop working.
By reviewing this tutorial, these three elements will help you navigate your MetaTrader training and give you the basics to get started with confidence.