MetaTrader 4 trading system permits the execution of trading strategies of any difficulty. It allows it to perform trades regardless of current market situation by combining different types of market, pending and stop orders, and even using a trailing stop.
The trader can choose the most suitable mode for each trading situation. There are three trade execution modes to choose from such as instant, request and market that take flexibility to a new level.
If the trading strategy needs to enter the market at a specific price, this action can be requested before performing a trade. The trade can be performed as soon as the set price appears.
On the other side, if entering the market at the specific time whatever the price is, choose the market execution mode. In this, the broker opens a position at the current market price without any additional verification.
Types of Trading Order
An instruction for a broker to perform a trade on behalf of the trader is called an order. Trades are performed depending on the conditions. It can be market, pending and stop orders:
- 2 market orders
- 3 execution modes
- 2 stop orders
- 2 pending orders
- Trailing stop
For instant execution, use market orders. Pending orders are those formed now but will be performed in the future as soon as the market situation meets the set conditions. In an instance, when buying the symbol price falls below the current one, the trader will order Buy Limit. This order might be used if it is expecting that after it reaches a certain level, there will be a reverse in a downward trend and the price will back.
Stop order or Take Profit and Stop Loss helps to lock obtained profits and minimize losses. They are used in combination with pending orders or market or with an already opened position.
An example is that a trader can make a Buy Limit order and set the Take Profit Level into 200 points above the opening price. When the specified level is reached, the long position is closed, and the profit is fixed. With this, the trader will not lose it even if the price reverses and moves downwards.
Stop Loss also works the same way and closes the position. It is created to minimize losses in case of wrong forecasts. For example, setting a Stop Loss 100 points below a long position will automatically close the position at that level when the price moves downward.
Trailing stops automatically proceed Stop Loss together with a fixed certain distance away from the current price in case the last-mentioned goes in a favorable direction. But when the asset price reverses, The Stop Loss stops moving, securing the profit, and minimizing the losses.
Working with Orders
MetaTrader 4 allows the trader to set orders in several ways. It can be through Market Watch, using hotkeys or straight from the chart by enabling One Click Trading.
In-depth information about all the orders and open positions are available in the Terminal-Trade Window. The trader can track there the number of orders and positions, open prices, volumes, stop orders and the account status. Furthermore, it also allows the review of detailed history of all the trades.
MetaTrader 4 is a powerful trading system that provides complete control over the trades and accounts. Choosing MetaTrader 4 will give traders everything they need to become successful from favorable market conditions.