MT5 overview, will it fit you?

MetaTrader 5 is an advanced platform that currency traders use widely to analyze markets and make well-informed decisions. The role of a trading platform in trading is enormous, as it allows traders to connect with financial exchanges and initialize trading positions (buy and sell). MT5 is one of the most popular platforms for Forex trading, and there are several distinctive reasons why it is so useful in financial trading. Let’s review the MT5 platform in more detail and analyze why it gained so much popularity among financial traders.

What is MetaTrader 5 (MT5)?

MetaTrader 5 (MT5) is an advanced trading platform that allows traders to analyze markets using technical indicators, automated trading algorithms, and various social features. The platform is top-rated among Forex traders and is a successor to the wildly popular platform MetaTrader 4 (MT4). While maintaining almost all of its useful features, MT5 adds numerous of its own, including an inbuilt economic calendar. MT5 offers both custom indicators and trading robots also called Expert Advisors (EAs). EAs are automated trading algorithms that allow traders to fully automate their trading strategies and backtest them on historical data. The interface was updated when compared to the older MT4 and is more modern. However, the similarities are more than the differences between the two platforms.

Trading Indicators

MT5 has even more built-in indicators than MT4 and offers traders a wide range of choices to analyze markets with technical analysis. The best MT5 trading indicators include MACD, ADX, ZigZag, and many more. Understanding the most popular indicators is crucial for any Forex trader to make sense of market movements and find the best entry points. Traders can also search for custom indicators online and download them. There are many custom indicators available, both free and paid, online. However, MT5 has yet to surpass MT4 when it comes to the abundance of online resources, even though it is more than other popular platforms. Mt5 inherits all the functionality and indicators of MT4 and adds its own, which makes it one of the most robust platforms out there today.

Popular Indicators: Top Five

When it comes to indicators, MT5 offers a wide selection of tools. Let’s list the top 5 most popular indicators below.

Moving Averages

Moving averages are the most widely used indicators every beginner knows and employs. They can be used to identify trend direction and support and resistance levels. Moving averages are a mathematical formula that averages prices over a user-defined period and is a very robust tool in the hands of a trader.

Relative Strength Index (RSI)

RSI is an oscillator that measures the speed and change of price movements for identifying overbought and oversold conditions. Values above 70 indicate overbought conditions, while values below 30 show oversold.

Bollinger Bands

Bollinger Bands consist of a middle band (usually 20-period moving average) and two outer bands calculated using standard deviation. The indicator is widely popular among traders and is considered one of the most robust trend indicators that can greatly aid in catching opportunities.

Moving Average Convergence Divergence (MACD)

MACD combines moving averages with momentum and consists of the MACD line and the signal line. It is mainly used to identify changes in the strength, direction, momentum, and duration of a trend.

Stochastic Oscillator

The stochastic oscillator measures the level of the closing price relative to the high-low range over the user-defined period. It is widely used to identify overbought and oversold conditions. However, the most profitable traders use Stochastic to find divergence between price action and the indicator and predict price reversal points.

User Interface and Usability

MT5’s user interface is not very user-friendly and requires learning and effort to master it. However, it is still not difficult to learn and enables traders to implement many advanced features. All the important functions are given in the menu, and it is easy to access important tools. The top menu includes all settings and functions, while tool tabs offer timeframes, analysis tools, chart types, and everything else. Traders can hide the navigation panel on the left, market watch, and bottom down window to see price charts on a full screen. This allows users to see all the price action for a reasonable time period and make far more accurate analysis of the markets.

Trading Tools and Features

MT5 also excels in a wide variety of trading tools and useful features, allowing traders to conduct a comprehensive technical analysis of the price. These tools include Fibonacci levels, various drawing tools for trend lines and levels, and many more.

Overall, MT5 is one of the most robust trading platforms available for all devices including PC, mobile, and even web browsers (Web Trader). With its advanced features and wide selection of tools, it allows traders to conduct a full analysis of markets and make the most accurate decisions.