Why is the Meta Trader 4 platform so popular?
Last Update: April 15th, 2018
MetaTrader4 is the most popular platform.
The MetaTrader4 (MT4) is by far the most popular platform for forex retail traders. More than 95% of the forex brokers offer this platform on their websites. It is one of the most complete trading platforms out there with many features, indicators etc. But the MT4 wasn´t created this way initially wasn’t popular from day one. As we have explained in our previous article about this platform, it started with a simple charting package in 2000 and evolved step-by-step over the years. The MT4 was introduced in 2005; even though it was very similar to the version that we are using today, many upgrades have been made since then and a lot of features and indicators have been added. Nowadays, I wonder if there is any forex trader who hasn´t heard of the MT4 platform. What exactly makes it the most popular platform?
Primadonna
We mentioned above that what was to be the MT4, which had simple beginnings in 2000. At that time online retail trading (ORT) was taking baby steps. Even in 2005 when the MT4 version released, ORT wasn´t widespread to the general public, so it was limited in trading platform providers. As with every new product, the advantages of being one of the first in the industry outweigh the disadvantages by far. Of course, the initial concept might be unclear and without an advisor you have to pave the road by yourself. With no other option, all potential clients will come and get hooked on your product. Many platforms are available to the ordinary trader now, but almost all the traders have tried the MT4 either demo or live. Familiarity with the product has it’s advantages and disadvantages.
The MT4 platform Architecture
It’s Free
As we will explain below, the MT4 ranks first to any other platform in regard to many aspects, but there are other platforms that compete. However, this platform or software might charge a fee. The MT4 is free to the traders; this will always be preferable to other products which may be more advanced. After all, you can always fund your account with the cash that
you´re going to spend on platforms and other programs that might come with it.
Numerous features
The number of features was one of the main reasons the MetaTrader4 went viral when the platform was first introduced in 2005. Some of the key features which made trading and market analysis easy were:
- the multiple charts setup with integrated and easy to use charts
- the navigator window
- the market watch window
- the Pepperstone market terminal
- the indicators window
- more than 80 pre-installed indicators
- automated trading
Those features are a market standard now, but at the time the competition was scarce and other platforms lacked the main features that the MT4 offered. But the company hasn´t stopped there, offering new features continuously.
These additions include- a news section, signals section, one-click trading and additional trading instruments.
Easy to use
When traders go live, their main preoccupation should be beating the market and finishing with a profit.
Winning each day is hard enough and a complicated trading platform would make things even worse. Therefore simplifying the trading platform is crucial. The MT4 has all the features and indicators you need as we mentioned above, yet it is simple and you can navigate through it quite easily. You have the symbols and the rates on the left, the charts on the right and the indicators and other features at the top of the platform. The one-click trading and customizing ability has made it even easier to use.
Ease of programming language MQL4
The programming language is a very important aspect of the MT4 platform. It has made it very easy for traders, programmers and the third-party participants to create and implement trading robots and Expert Advisors (EA) indicators. Besides the EAs and indicators, which are provided by the MetaQuotes Corporation, you can now find thousands of third-party robots and indicators which have been built exclusively for the MT4. Apart from the EAs and the indicators, traders have also developed scripts that can carry out certain functions. One example is taking screenshots of only a small part of the chart, which includes the indicator as well or scripts that clear all the indicators from the chart.
The MQL4 programming language made it easy for third parties to write trading programs.
It’s Convenient
Convenience is a must for a trading platform. The MT4 offers it in many different aspects but the most important ones are the following:
- Server stability: The MT4 server is a lot more advanced than the previous version and the rest of the competition. It can support tens of thousands of trades simultaneously.
- Minimal resources: The MT4 uses very little resources from your computer and it works well, even with a low internet bandwidth. This means that it reacts faster to the next point
- Communication: In the client terminal there is a mailbox section which enables the brokers to communicate important information to their clients in real-time, which is very convenient for them and saves a lot of hassle.
- Security: The security of the MT4 is almost perfect. It was upgraded from the previous versions to prevent the DoS threats and connects both ends 129-bit key.
Customizability
The MQL4 programming language made it easy for third parties to write trading programs.
Popularity
Last but not least, the popularity itself. This sounds like a paradox but it makes sense. The more popular a product is – the easier it becomes to acquire potential consumers. If you look for a trading platform on the internet, the MT4 will appear everywhere. There is a lot of literature covering this platform and word of mouth is also a very important aspect of its marketing. With so many people already using the MT4, it is not very difficult for the word to travel externally, inter and intra-trading group.
The MetaTrader4 platform introduced numerous new features, which were at the forefront of the industry at the time and made it a market leader. The customizability, the comprehensive programming language, the security, the server stability, and minimal resources it requires to run gave it the reputation it deserves. And all of this came for free to the basic trader. However, the MT4 did not become a market standard out of the blue. It became so popular for these reasons, plus continuous updates and new features which are periodically implemented to keep its high ranking.
This may also interest you:
- Check out our Forex Trading Platforms reviews
- You can also read more about how to create your own trading plan
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