If you are new to the forex market, this guide will guide you on how to exchange cryptocurrencies on MT4. What is an encryption transaction?
The MetaTrader4 (MT4) trading platform is quite remarkable in the field of cryptocurrencies and currency trading. It offers advanced technical analysis, a flexible trading system and algorithmic trading tools. For beginners, it is an ideal platform to get started, because it is a convenient trading platform. With apps for Android, iOS and PC, merchants can trade using their preferred device.
If you are new to the forex market, this guide will guide you on how to exchange cryptocurrencies on MT4. First of all, you need to understand what cryptocurrency trading is.
Overview of cryptocurrency transactions
Normally, people buy cryptocurrencies from exchanges, keep them in a wallet and sell them whenever they want. This is the basic trading of cryptocurrencies and often requires possession (or HODLING, as reported by cryptographers) for a long time, expecting the currency to rise in value before selling.
But you will not do this if you want to trade on the MT4 platform. Instead, you will make day-to-day transactions involving zero-time purchase and sales encryption. ideally, less than 24 hours.
Negotiating within such a time requires careful thinking. The market is decentralized and relatively risky, so if you lose your money, there is no one to take responsibility except you. To avoid this, traders need to study the market, understand signals and use quick trading tools. That's where MetaTrader 4 comes in.
How reliable is MT4?
MT4 incorporates key features that cryptocurrencies should have. Starting with the trading system. you can start any trading strategy, no matter how complicated it may be. For example, you can start 3 execution modes, trailing stop, 2 purchase orders, 4 pending orders and 2 stop orders.
Go to trading analytics - you need it to make up-to-date trading decisions and MT4 presents it on a gold platter. From the platform, you can access interactive charts, 23 details, 30 technical indicators and 9 time frames.
For transactions and copy exchanges, you can set trading options and enable automatic tool sharing. There are thousands of predefined trading strategies, thousands of providers and you can set any trading condition.
Fortunately, MT4 has a built-in market. Here you can access the largest collection of trading applications worldwide and also access both commercial and free products. The market has over 100 trading indices and over 700 trading robots.
The last thing you need to know is the MT4 algorithmic transaction. You can develop automated trading programs for your transactions using the MetaEditor and MQL4 languages.
Cryptocurrency transactions in MT4
As mentioned earlier, you will be trading daily on the MT4 platform and this will include CFD trading. Therefore, you will not need an encryption exchange platform but an encryption platform.
You may be wondering what CFDs are. CFD stands for Contract for Difference, they are derivatives that allow you to exchange cryptocurrencies without buying real currencies. This is very different from buying and selling cryptocurrencies on stock exchanges.
With CFD trades, you can make a profit whether the value of a cryptocurrency is valued or devalued, you just have to make the right speculation by going either long or short. If you go too far, you assume that the value of the currency will be appreciated. therefore, you buy. If you go fast, you assume that the value of the currency will be devalued. therefore, you sell.
Fake speculation is synonymous with loss. This can be a risky encryption deal. However, the risk can be addressed and reduced relatively because the CFD transaction involves leverage and margins.
Leverage allows you to control a large amount of money (trading position) with a small amount. For example, a broker can set a leverage ratio of 100: 1, giving you the opportunity to open a $ 50,000 position and deposit just $ 500.
Whatever profit the trade makes, you gain 100%, if there is a loss, you also lose 100%. As they say "leverage is a double-edged sword". But the advantage is that you will not risk $ 50,000 out of pocket.
Margin is simply the money you deposit to control a large position. From the previous example, a broker sets a 100: 1 leverage ratio, giving you the opportunity to open a $ 50,000 position and deposit just $ 500.
Usually, margins are expressed in percentages, related to leverage. A $ 50,000 trading position for a $ 500 deposit means you are trading with a 1% margin, hence the reason.
To exchange cryptocurrencies on MT4, you must first find a broker that offers points, points and margins. Of course, you should also check if the broker has the MT4 trading platform, but this should not be a concern as it is available to almost all trusted encryption brokers.
However, most of the brokers you will find are forex brokers who offer trading in Cryptocurrency CFD. There is nothing wrong with trading with such brokers, but the most important thing is to ensure that the broker is regulated.
As a beginner trader, it is not recommended to rush to trade live on MT4. You must first become familiar with the environment, so you must first open a demo account. Most stockbrokers offer it.
When you are logged in to the platform:
Click "View" from the menu options and select "Symbols".
Select "Crypto" by clicking on the "+" symbol.
Select "Crypto" again and a list of cryptocurrency pairs offered by the broker will be displayed.
Choose the ideal couple and start trading.
conclusion
Although the MT4 trading platform is very convenient, it is an advanced trading platform used by professional encryption traders. You can use it as a beginner, but first, you need to understand the encryption market.
Not knowing how the market works puts you at a disadvantage and you are more likely to lose money than you earn. As advised, practice using an MT4 trial account before you start live. You can practice for weeks or even months, as long as you need conversation.