How to Trade with MetaTrader 5

How to trade with MT5

What is MT5?

MetaTrader 5 (MT5) is the next generation trading platform from MetaQuotes, following on from the hugely popular MetaTrader 4 (MT4). While MT4 was optimised for forex trading, MT5 is functionally intended to accommodate more asset classes which include cryptocurrencies. MT5 is the ideal multi-asset platform for the modern trader that seeks to enhance their trading experience using a choice of powerful and effective new features as well as highly practical trading tools and resources. AvaTrade offers the powerful MT5 to its traders, allowing them to trade multiple assets, such as CFD’s on forex, stocks, commodities, indices, futures, energies and cryptocurrencies, with flexible leverage as well as no re-quotes, no price rejections and zero slippages. A core benefit of the MetaTrader 5 platform is that you can trade from anywhere, from the comfort of your smartphone and tablet. This is via the MT5 Web platform, which enables you to trade your assets of choice from any web browser and any device. In addition, the MT5 platform offers trading robots, trading signals and copy trading. All of these powerful features can be used from a single trading platform.

How to Trade with MT5

Here is what to do in order to experience the full power of the AvaTrade MetaTrader 5:

  • Education
  • Download and install
  • Place your order

1. Education

As mentioned above, MetaTrader 5 is packed with numerous features and trading resources, which are designed to enhance your trading activities. It is important to learn about all the features and their applicability to ensure that you are well equipped to take advantage of the full functionality of the platform. From the available seven asset class types, numerous trading tools, indicators and graphical objects, to 6 different order types, multiple automated strategies and market depth, you will be able to fully exploit the raw power of the MT5 platform if you take a little time to educate yourself on all the available features of this intuitive platform. AvaTrade also has numerous educational materials specifically on the MT5 trading platform that are accessible for free in our ‘Education’ section. Be sure to take advantage of the informative and friendly eBooks and videos that explain in detail how to trade financial assets online efficiently.

2. Download and Install

Here are the minimum system requirements for using AvaTrade MT5 on your PC:

  • Windows 7 Operating System or higher (64-bit system recommended)
  • Pentium 4/Athlon 64 processor or higher (All modern CPUs should be able to support this)
  • If you intend to be a heavy user (For instance, opening multiple charts and utilising multiple EAs), you could consider more powerful hardware options

Follow the steps below to download and install AvaTrade MT5 on your PC:

  • Click on AvaTrade MetaTrader 5 download link here
  • Run the ava5setup.exe file
  • Enter your real account login information
  • You can open a new demo account directly from the platform too
  • Begin trading

3. Place your Order

If you have already logged into your AvaTrade MT5, it is now time to trade your favourite assets.

There are several ways to place an order on MT5:

  • Click on Tools on the Menu bar. Then select ‘New Order’
  • On the Market Watch window, double click on the asset you wish to trade (you can also right-click on your desired asset and then select ‘New order’)
  • Right-click on the Trade tab on the lower terminal and select ‘New Order’
  • Press F9 for one-click trading on the chart of your favourite asset

When any of the above options are applied, the ‘Order Screen’ will pop up. The screen will have a tick chart on its left side and customisable order details on the right. The tick chart displays the bid and ask prices, and thus, the real-time spreads (the difference between the bid and ask prices).

The order details on the right are:

  • Symbol
    This is the asset you wish to trade, such as the EURUSD currency pair.
  • Order Type
    You can choose between Market Execution and Pending Execution order types.
  • Volume
    This is the quantity (in lot sizes) that you wish to trade, of the selected underlying asset. On a standard account – 1 lot size is the equivalent of 100,000 units, which typically means that a 1 pip movement will be about 10 US dollars (USD) on most assets.
  • Stop Loss and Take Profit
    You will be able to attach Stop Loss and Take Profit orders on all your trades. Stop loss orders help curb your maximum loss when the asset price moves against you, while take profit orders allow you to book profits when the asset price moves in your favour.
  • Comment
    You can add any notes regarding a trade in the comment section. This is ideal for traders that document their trading activities.

MetaTrader 5 – Order Types

As mentioned above, you can trade your favourite assets using 2 order types: Market order and Pending order.

  • A market order is an order to buy or sell an asset at the current price. The order will be executed in real-time.
  • On the other hand, a pending order is an order to buy or sell an asset at a certain price in the future.

The AvaTrade MT5 platform has 6 pending order types as follows:

  • Buy Stop
    An order to buy an asset at a higher price than the current price, in anticipation that when that price is achieved, the trend will continue higher.
  • Sell Stop
    An order to sell an asset at a lower price than the current price, in anticipation that when that price is achieved, the trend will continue lower.
  • Buy Limit
    An order to buy an asset at a lower price than the current price, in anticipation that the asset price will turn higher after having achieved a certain price.
  • Sell Limit
    An order to sell an asset at a higher price than the current price, in anticipation that the asset price will turn lower after having achieved a certain price.
  • Buy Stop Limit
    A combination of buy stop and buy limit orders designed to eliminate slippages. You set a buy stop limit at a price above the current asset price, and when achieved, a buy limit order will be placed.
  • Sell Stop Limit
    A combination of sell stop and sell limit orders designed to eliminate slippages. You set a sell stop limit at a price below the current price, and when achieved, a sell limit order will be placed.

If you apply Stop Loss and Take Profit orders, your trade positions will be automatically closed when they are triggered. You can also manually close the positions at any time before these orders are triggered.

Trade Any Time and From Anywhere

The AvaTrade MT5 platform also has a web version, which is accessible through both mobile and desktop browsers. There is also a downloadable mobile MT5 App that is compatible with both Android and iOS mobile devices. This provides the convenience and flexibility to trade from anywhere. You can log in to any of the different platforms using one single login.

Market Analysis with MetaTrader 5

  • Technical Analysis with MetaTrader 5

Technical analysis is an important facet of trading financial assets online. The essence of technical analysis is to identify potential price patterns that have a probability of playing out in the future.

MT5 provides a great environment for technical analysts to perform extensive price analysis on a massive range of assets. There are 38 technical indicators, 44 graphical objects, 21 timeframes, as well as the ability to add unlimited charts on your trading space.

Indicators are mathematical tools that help traders understand price action better. Indicators are applied automatically on MT5 charts, and for your convenience, they have been classified into various groups that denote their application. These groups include:

  • Trend
  • Oscillators
  • Volume
  • Bill William’s tools
  • Custom indicators.

On the other hand, graphical objects are applied manually and include tools, such as geometric shapes, channels, Gann tools, Fibonacci and Elliot tools. There is also the option to add your own custom tools on the MT5 platform.

  • Fundamental Analysis on MT5

Aside from technical analysis, there is also fundamental analysis which is the study of how various economic, social and political factors impact demand and supply forces of any underlying asset. Performing real-time fundamental analysis is now easier than ever on the MetaTrader 5 platform.

There are inbuilt tools that can be accessed directly from the platform, and these include Financial News and an Economic Calendar.

  • Financial News streams major economic and political news from international news agencies, and it also makes available the various global research newsletters with excerpts relevant to different tradable financial assets.
  • As for the Economic Calendar, traders can track the forecasts and real-time releases of major economic and political events that are likely to have an immediate impact on financial assets.

MetaTrader 5 for mobile also has a tab for news as well as a separate “Tradays” (forex economic calendar) integration. The mobile Economic Calendar version is available in 9 different languages, and it supports alerts so that traders can be notified on their preferred fundamental events, which they wish to track.

MetaTrader 5 – The Benefits of Trading with AvaTrade

AvaTrade is an award-winning and highly regulated broker which provides traders with all the tools, services and features required to fulfil their full trading potential.

  • Regulation
    AvaTrade is a regulated broker, giving traders peace of mind that they are partnering with a broker that operates within the guidelines as set out by recognised, international regulatory bodies.
  • Intuitive Trading Platforms
    AvaTrade provides its traders with access to a wide choice of top-quality and powerful trading platforms including the highly popular MT4 and MT5 trading platforms, the AvaSocial social trading system, the AvaTradeGO app, as well as AvaOptions, the exclusive Vanilla Options trading app.
  • A Choice of Trading Instruments
    Traders at AvaTrade can access a choice of trading instruments including cryptocurrencies, stocks, commodities, indices, forex pairs, bonds and ETFs. With API Trading, ZuluTrade and DupliTrade, traders can also engage in automated trading. AvaTrade is also one of the few brokerage companies to offer Vanilla Options.
  • Safety and Security
    Safety and Security – At AvaTrade, all clients’ funds are held in a segregated account. Plus, each account has negative balance protection to ensure that a trader’s account never goes below zero.
  • Secure Payment Options
    For payments, AvaTrade provides access to a wide variety of secure deposit and withdrawal methods, which include credit cards, wire transfer, WebMoney, Dinpay, Boleto and FasaPay. With AvaTrade, there is no margin interest and zero commissions.
  • Wealth of Trading Resources
    AvaTrade has numerous handy resources that can help investors get the most out of their trading activities. For instance, you will get access to Trading Central and Guardian Angel add-ons to maximise your trading potential.
  • Professional and Responsive Customer Support
    You can contact the multilingual AvaTrade customer support, as well as gain access to a dedicated account manager if your first deposit is greater than $1000.

    Download the AvaTrade MT5 platform to experience the highest level of trading available today.