As a determined trader, you need to know how to work the Meta Trader platform. Especially, when it comes to actually buying (going long) or selling (going short) a trade. In this article, I’ll show you how to do just that using your MetaTrader platform. Best yet, I’ll be taking a trade throughout this tutorial. In MT4, a New Order is simply the button you’ll use to buy or sell.
You probably have a busy schedule and don’t have the time to look at the charts all day and wait for your trades to line up. We want to make sure your trading experience is easy, quick and with little stress. We are going to show you how to create a trading alert on your MetaTrader platform for the next time you take a trade. What is a trading alert?
Although there are multiple different methods to fund your account that we discussed in the deposit time article, all withdrawals are made to your nominated bank account irrelative to your deposit method. Withdrawals do not need to be a lengthy process that leaves you worrying about your money. There are ways to ensure a speedy process.
There are a few methods available to make use of when it comes to depositing funds into your live trading account. Popular options such as electronic funds transfer (EFT), Ozow and credit/debit card. Depending on the method and your choice of bank there might be some delay before the funds reflect and can be allocated to your account so you can start trading.
Demo funds or a demo account is there for the sole purpose of practising your desired trading strategy in a safe, risk free environment whiles getting a genuine live trading experience. Demo as per definition implies; a demonstration of a product or technique. Just like demo funds cannot leave your worse off in regards to losses.
Getting into too much detail based on these terms can be a headache when trying to grasp a deep understanding of the “why” factor. The important aspect is understanding what it is and when it is imposed (earned or paid). Your broker will specify the rate that is paid or earned on an open position. It will be indicated on a full contract size and then adjusted to your position size accordingly.
In simple terms, the bid price indicates at what price “people” are willing to buy at, the ask at which price “people” are willing to sell at. People can refer to your broker, in the instance of a dealing desk, or institutions, banks, traders etc. – if your order goes directly to market, such as an ECN account. Price moves as bid and ask pending orders get filled.
Take profits and stop losses are two very common terms in the trading industry. Take profit commonly referred to as TP, stop loss as SL, is there to automatically lock in some or all profits but also limit losses. In essence, these features help with risk management. These pending orders help put a determined risk-reward ratio in place.
The Margin requirement is set out by your broker to maintain an open position. Based on the margin, your broker then offers you leverage where they front the difference in order to open any given position. Leverage is a double-edged sword. Yes, you can open bigger volume sizes but it may also put your account at higher risk. The term is called “over-leveraging” as it’s commonly referred to.
These two terms are important to understand when reading a forex quote. Misunderstanding the position and value can lead to incorrect risk, profit/loss calculation and overall confusion. The position of each is true for all Forex quotes with the only exception of the Yen crosses.