Over the last few years, there has been a significant increase in the amount of people entering the stock, bond or currency markets, and trying their hand at trading. And while the results were great while the economy was in an upswing, it is much more challenging when there is a downturn. That is why it is more important than ever to do you research and use the best tools you can to yield the best results, no matter which market you choose to trade in.
Anyone looking to dive into Forex (currency) trading must be willing to enjoy the ride, no matter how wild it gets. Why? This is because the Forex market is highly unpredictable and volatile, making having the right tool at your disposal your best shot at success.
One of these tools you need is a trading platform. Not just any kind of trading platform but the best in the market. We have made it easier for you as we will look at five different Forex trading platform types and what you should know about them.
Overview of Forex Trading Platforms
Forex trading has become very popular for investors to make passive income. Yet, not all Forex traders emerge from the Forex markets successfully. The reason for this can vary from improper tools or lack of knowledge, but lack of proper tools is the main culprit.
One of these tools is Forex trading platforms, which with the right one, like those with MetaTrader 4, can help you execute your trade rates with a high chance of making a profit. Forex brokers for MetaTrader 4 come with the best features in the Forex market, like a wide range of technical indicators, advanced trading tools, and customizable charts. But that does not mean they aren’t other trading platforms that can compete favourably with it.
Types of Forex Trading Platforms
If you are ready to step into the fast-paced world of investing through Forex trade, then knowing the types of Forex trading platforms and understanding their differences will be a formidable weapon in your arsenal. Before we proceed to the different types, it would not hurt to bear in mind that the different trading platforms have different functionalities that speak to individual investors. So it is best to pick the ones that best fit your Forex trading needs.
MetaTrader 4
Investors interested in maximizing their opportunities within the Forex market should strongly consider utilizing the MetaTrader 4 Forex trading platform. This powerful application provides access to all essential resources and tools for successful price analysis and trade execution. Users benefit from a wide variety of pre-built indicators alongside other key performance metrics designed specifically to help track important trends while consistently identifying optimal entry/exit points.
MetaTrader 5
Boasting advanced features such as multiple time frames, real-time market data, and pre-set order types, MetaTrader 5 is the preferred multi-asset Forex trading application by experienced traders and investors. In addition to everything its predecessor offers, MT4, this app also delivers built-in indicators that further elevate its practicality.
On the MetaTrader 5 mobile trading platform, traders have access to an array of netting and hedging tools and expert technical analysis. These features are complemented by Market Depth, which provides real-time insight into market activity. In addition, analytical items and indicator sets enhance decision-making capabilities.
LiteFinance
For new Forex traders seeking an alternative to the MetaTrader platform, LiteFinance is a great tool. The user interface is simple and straightforward, with basic trading features and support tools for signal confirmation, one-click trading, and fast flipping between charts of various asset classes. In fact, it might be the greatest MetaTrader substitute.
The platform supports both active and passive trading. Because of its ergonomic functionality, it is simple to do any activity with only a few clicks. Additionally, it has a volume indicator, several channel indicators, Fibonacci tools, and non-standard oscillators.
Although automated trading tactics are not now available, their connection will be made available soon, according to the developers. Additionally, there is no strategy tester; traders can test their strategies with a demo account.
Ninja Trader
Investors in stocks, futures, and foreign exchange have been served by the NinjaTrader trading platform since its inception in 2004. However, because of the purchase of a lifetime license required to use it, some traders may find it less attractive than other Forex trading platforms.
Furthermore, as a trading tool with no market data provided, NinjaTrader relies on users connecting their platforms to one of their affiliate market data suppliers, such as Google Finance or Kinetick, for real-time or end-of-day market data.
ProRealTime
IT-Finance’s creation of the ProRealTime trading platform marks yet another notable instance of technical innovation in the field of forex. ProRealTime is known for its exceptional software, utilizing the advantages of cloud computing to create a streamlined and easily accessible system on a global scale.
Among its many features are advanced charting tools and custom market scanners, which can be programmed using the proprietary language ProRealCode. Acquiring a software license is necessary for interested parties to access these functionalities. It should also be noted that real-time market data can only be accessed through additional fees.
Conclusion
Over the years, Forex trading has evolved to catch up with advanced technologies and increasing traders’ needs, making trading more convenient and efficient. This evolution, especially the trading platforms, can make it difficult for traders, specifically beginners, to pick the best trading platforms for them.
Nonetheless, with these five different Forex trading platforms, you can pick a platform that meets your preferences and requirements.