How to use the MetaTrader (MT4/MT5) for Binary Options trading?

Focussing on trading excellence is a common goal nowadays. But, the right way is through the advanced software that will govern your trades. When the trades are mainly in Binary Options, the need for advanced trading platforms increases multifold. The MetaTrader platforms are no less than a sensation in online trading. 

Consequently, traders do not hesitate to try them for binary trading. But are the MT4/MT5 platforms compatible with binary? How to use them if so? Which binary brokers offer the use of MT4 or MT5? Is MT4 good for binary or MT5? All such questions will find their answers in the following detailed discussion.

MetaTrader

Tutorial: How to use the MT4/5 for Binary Options?

Using the MT4 or MT5 platform is possible through the software’s download directly from the site. In another way, the trader can visit a compatible broker’s platform to download and use it. 

One should also make it known that using the MT4/5 without the broker may be possible for demo trading alone. When you switch to live binary trading, a broker is a must. So the first step in using the MT4/5 for Binary Options is the broker selection

(Risk warning: your capital can be at risk)

Choose the broker that offers the use of MT4 or MT5

  • Before choosing the broker, you must not get disheartened o know that all brokers do not allow MT4/5 trading. Some may offer either of the two; wherein others may not offer any of them.
  • Anyhow, choosing a broker is a crucial step in Binary Options trading. A broker is the main source of your trading moves and guides future trades.  
  • The choice of your broker can depend on multiple factors. However, the main criteria you should set are the presence of regulation from a top authority, valid MT4 and or MT5 licensing, etc. 

Download the MetaTrader software from the website

Download the MetaTrader
  • In furtherance, to trade Binary Options on MT4/MT5 platform, you need to visit the MetaQuotes site and download its latest version. While downloading, the user will see multiple versions that suit different operating software. 
  • For example, the MT4/5 platforms are available for Windows, Android, Mac, etc. Therefore, the trader must download the version accordingly.
  • One can also download the plugin for the compatible broker. Downloading the MT4/5 trading software is also possible through the broker’s platform itself.

Our recommendation: Pick the best broker for binary trading!

Broker:

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1. Quotex

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(Risk warning: Your capital can be at risk)

2. IQ Option

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(Risk warning: Your capital can be at risk)

Create an account with the broker’s credentials

MetaTrader account login
  • To use the MT4/5 platforms for winning binary trades, the next step is to join it through the broker’s credentials. As we stated before, the Meta trader platforms function with the brokers, so creating an account requires you to visit the broker’s site and join its platform to become a member. 
  • After, which the credentials are sufficient for creating an account with MT4/5. One must note that the broker’s importance arises when the binary trade goes live. When the trader chooses to utilize the demo feature, the broker’s credentials may not be necessary.

Open a trading position after selecting the desired asset

Open a Binary Options trade
  • Finally, you can open the trading position after creating the account. The process for opening a position may differ slightly from broker to broker. However, a tool option shall be available with the platform’s interface in the usual course. That will bring ahead an option to place a new bet or order.
  • Numerous assets are available for Binary Options on MT4/MT5, from which a trader can choose any. Through the MT4/5 platform, traders can choose trending assets for the maximum probability of winning. 
  • Also, while choosing the assets, they can utilize the trading charts and tools available with MT4/5. That will allow them to understand the most profitable asset for the particular position.

(Risk warning: your capital can be at risk)

Does Quotex offer MT4 or MT5 trading?

Quotex.io is not a new name for those in the Binary Options trading for a while. Quotex’s popularity is a result of its innovative platform and advanced features. The broker boasts of an outstanding return of up to 98%. 

Being so popular among binary traders, it is a natural expectation to get the MT4/5 feature through it. But, Quotex does not offer any of the Meta Trader platforms. That may sound disheartening, but instead of MT4/5, Quotex manages to compensate for the void by offering a remarkable feature portfolio. 

It offers features that may range from copy trading to affiliate trading. Also, every trader is eligible to make the most profitable use of its 400+ trading tools. 

The features guide for MT4/5 platforms

Screenshot of the metatrader 5

Both MT4 and MT5 are advanced trading software with numerous tools and features. The reason behind their popularity is also the same. Brokers incorporate them largely because of their potential to improve trades. 

Many advanced traders join a particular broker’s platform only after confirming the presence of either MT4 or MT5. Therefore, as a Binary Options trader, you must accustom yourself to all the ins and outs of these platforms. 

Once you begin to use the MT4/5 feature, certain common elements are present which shall appear before you. Mastering these elements will result in the effective use of MT4/5 platforms.

(Risk warning: your capital can be at risk)

Platform’s elements

  • Market Watch: This is an element of the MT4/5 platform’s interface that will allow the trader to keep in touch with the happening in the market. As we all know, the binary trading market is highly volatile and is prone to frequent fluctuations. The fluctuations may happen within a frame of less than a minute or so. 

Certain traders make use of such fluctuations through the sixty-second trades. But, that may not be every trader’s preference. So, those who wish to trade in Binary Options for the long term need to have a market watch. That allows them to monitor the immediate changes. 

With the MT4/5 market watch, such a feat is achievable, and the trader can benefit majorly through that. This feature is present in the top corner on the left-hand side, where the Market Watch window will be available. The MT4/5 market watch contains all the main products useful in CFDs, Forex and Binary Options altogether.

  • The Navigator: It helps traders involved in multiple accounts with various brokers. The main purpose of this element is to help the trader browse different accounts. That can get difficult when you have to make quick trading decisions with a binary trade. So, it eases the task along with other data analysis indicators and scripts.
  • The Graph Area: The importance of graphs in binary trading is understandable. That is why the MT4/5 platforms focus on providing a customizable graph area for diverse use of graphs. 

The MT4/5 graph section will allow the traders to view financial data and get a better insight into their trading progression. It also allows them to analyze the trends, which can greatly help prevent loss-making moves in Binary Options.

  • The Tool Bar: The MT4 and MT5 platforms offer users a toolbar consisting of various features. These can be useful in formatting charts and adding new windows. The toolbar also allows modifying the language.
  • Tool Box: The toolbox is a distinguishable element that is different from the toolbar. The toolbox, unlike the toolbar, is not located at the top. The bottom of the interface shall show it. 

This element aims to support the traders with the help of exposure, mailbox, calendar, trade history, etc. A trader can browse the current binary trades and simultaneously receive trade alerts or signals.

(Risk warning: your capital can be at risk)

Automated trading 

One of the most utilitarian features that make the MT4/5 popular is automated trading. These platforms make use of algorithms that can conduct the fundamental and technical analysis on their own without the trader’s efforts. As a result, it predicts the most accurate outcomes. 

Moreover, the automated trading feature helps eliminate the emotional or psychological factors from the execution of trades. Since the algorithm works exactly with the same precision as the previous trades, it does not get affected by the last win or loss. Hence, the traders can rely on its predictions without any chance of jeopardy.

Portable trading through mobile and web browser

The MT4 and MT5 platforms take into consideration the rising need for instant accessibility. That is how it can offer access through mobile as well as web browsers. Any trader who uses the MT4 or MT5 through any compatible broker can access it through all the major operating software such as windows, android, mac, etc. 

Indicators and data analysis tools:

MetaTrader indicator example

The MetaTrader 4 and MetaTrader 5 come with technical analysis tools that can help ease the process for binary traders. The MT4/5 comprises more than 30 built-in indicators that are crucial in guiding toward profitable moves. 

Along with the built-in ones, free indicators are also available that can go more than 2000 in number and which you can customize as per your trading ideas. But, if you want to enhance the capabilities by adding more to it, the choice of 700 paid indicators is also available. 

These indicators will simplify most market complexities and help better analyze the Binary Options market. Out of the two MT4 comes inherent with 24 analytical objects, including Gann and Fibonacci tools and the various lines, shapes, arrows, etc.

Which one is better, the MT4 or MT5?

FeaturesMetaTrader 4MetaTrader 5
CustomizableYesYes
Time Frames921
Graphical Tools3244
System32-bit64-bit
  • The recent survey suggests that despite MT5’s introduction as an updated version, MT4 prevails as the preferable one.
  • However, while comparing, we must consider all the aspects that govern them. Firstly, the common factor is that both are highly customizable and compatible with various binary brokers.
  • They both offer interactive charting tools which can improve Binary Options trading. But, the MT5 platform, as an upgraded version, offers more timeframes than MT4.
  • The number of technical indicators is also higher with MT5 than the MT4. The MT5 also stays ahead by offering additional features such as more Fibonacci studies.
  • Another distinction between the two platforms is the MT5 comes with a higher market depth. Also, where the MT4 platform is primarily designed for CFD forex instruments, the MT5 covers many more securities in addition.
  • The speed is another fundamental difference, where MT5 is faster and more efficient with a 64-bit multi-threaded system. On the other hand, MT4 uses a 32-bit mono threaded system.
  • We can also see that the MT4 platform allows only hedging, whereas the MT5 permits hedging and netting altogether. Both of which are effective trading methods.

(Risk warning: your capital can be at risk)

What are MetaTrader 4 and MetaTrader 5?

The prevalence of online Binary Options has been visible for the past two decades. Just alongside, the Meta Trader platforms have also shown a booming usage and prevalence, though released in 2005. These two software initially were targeted to make forex trading easier. 

MetaTrader 4 website
MetaTrader 4 website

However, shortly after its release, the first version of MT4 proved to be useful in other trading modes as well. That gave way for the further development of the software, and the makers introduced the MT5. Therefore, since 2007 online brokers have begun incorporating their platform with the MT4/MT5 platforms. 

The MT4 is the precursor to the latest version of MT5. They both originate from the same developer, MetaQuotes Software. Initially, the introduction of the Meta Trader software was aimed at forex trading. 

MetaTrader 5 website

Consequently, the software worked through outsourcing its license to forex brokers. They incorporated the MT4/5 feature into their platform for customized trading. That made it the largest forex trading platform even recently. 

However, the use of MT4 and MT5 has significantly extended to other modes of trading. Now, brokers can offer their clients the MT4/5 for options trading as well.

Using either of the platforms for binary trading can greatly result in positive trades. One of the exclusive features of the MT4/5 platform is the use of proprietary scripting language. That is what defines the software’s functionality. So, depending on whether it is MT4 or MT5, the scripting language could be MQL4/MQL5. 

This also allows the software to offer Expert Advisors and custom indicators. The user can choose from a vast array of indicators should they use the MT4/5 platform through their broker.

Conclusion

Using either MT4 or MT5 can be one of the best decisions that a Binary Options trader can make. However, the compatibility of the broker plays a great role in doing so. Moreover, a new trader may face trouble knowing how to use the MetaTrader platforms initially. The above discussion covers the entire topic from scratch. Therefore, it can guide anyone who wants to know how to use MT4/5 for Binary Options.

(Risk warning: your capital can be at risk)

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