| Developer(s) | Metaquotes Software Corp. |
|---|---|
| Operating system | Windows |
| Type | Trading platform, Technical analysis software |
| License | Metaquotes Software Corp. |
| Website | www.metaquotes.net/en/metatrader4 |
MetaTrader 4, better known as MT4, is an electronic trading platform widely used by online retail foreign exchange speculative traders. It was developed by MetaQuotes Software and released in 2005. The software is licensed to foreign exchange brokers who provide the software to their clients. The software consists of both a client and server component. The server component is run by the broker and the client software is provided to the brokers customers, which use it to see live streaming prices, charts and to place orders as well as manage their account.
The client is a Microsoft Windows-based application that became popular mainly due to the ability for end users to write their own trading scripts and robots that could automate trading. In 2010 MetaQuotes released a successor, MetaTrader 5, however uptake was slow and as of 2011 most brokers still used MT4.
Contents |
Its developer MetaQuotes Software had previously released a number of versions of the MetaTrader software starting in 2002. Metatrader 4 was a significantly enhanced version and was released in 2005.
Between 2007 and 2010 a number of brokerages added the MT4 platform as an optional alternative to their existing trading software due to its popularity with traders and the large number of third party scripts and advisors.
In 2010 a significantly re-coded MetaTrader 5 went into public beta testing and was subsequently released later in the year
The client terminal includes a built-in editor and compiler with access to a user contributed free library of software, articles and help. The software utilizes a proprietary scripting language, MQL4[1], which enables traders to develop Expert Advisors, custom indicators and scripts. MetaTrader's popularity largely stems from its support of algorithmic trading.
Yahoo hosts a large group (over 12,000 members) devoted to development of free open source software for MetaTrader.[2]
MT4 is designed to be used as a stand alone system with the broker manually managing their position and this is a common configuration used by brokers. However a number of third party developers have written software bridges enabling integration with other financial trading systems for automatic hedging of positions.[3]
The complete MetaTrader 4 package includes the following components:
The platform is focused on margin trading. Some brokerages use the platform to trade CFD but it is not designed for full-time work in the stock market or to conduct non margined trading.
MetaTrader 5 is designed as a platform for equity markets as well as foreign exchange, CFD and futures trading.
Both MetaTrader 4 and 5 can use custom indicators and trading programs (called Expert Advisors) for trading automation.