The foreign exchange market may be an online market, and you may have heard that services of a broker are necessary in order to start trading. This may not always be the case as any trader can trade in this market without going online. All he/she has to do is visit any bank to buy/sell any international currency and make profit similar to any other forex trader. But using MetaTrader 5 has its own advantages, and trading becomes a bit easy by using this online technology.
Then again, you may argue that this will require an initial investment from your side and you may have to pay a certain percentage from your profit to a broker. To make things simple here is a comparative study of MetaTrader 5 functionalities and trading in forex using offline methods.
Automatic order placements
This will never happen with offline trading. If you want to buy/sell a particular currency, you first have to check the market quote for that particular pair and then visit the nearest bank for carrying out the transaction. This process is time-consuming, and the market may shift, considering its volatility.
With MetaTrader 5 you not only check market quote but place orders almost instantly. Also, you may pre-set your purchase/sell quote and the platform automatically places the order for you at that quote. Time consumed is less and chances of making profit increases.
Access to online forex forums
Forex forums are places where traders get to interact and share trading ideas. Many traders put up their trading signals on sale which may be copied to your account to increase returns. Also, experts place their views and sentiments about the market which help in forecasting forex future movements.
You may gain access to such forums even when you are not using MetaTrader 5 or any other similar platform, but copying signals will not be possible. These forums are necessary to learn trading techniques from veteran traders and may be useful to newbies.
Not only forex, but you can also trade with stocks, precious metals or any other similar items internationally with this software. Everything is online based, starting from viewing market quotes to the placement of order. Also, MetaTrader 5 has the advantage of trading in multiple domains from a single place.
Access to forecasting tools
Charts and forecasting will be available online but others conduct them. You will end up without an option to check its accuracy. With the use of online trading platforms, you will have your own plots and tools and carry out your own forecasting.
Also, these softwares are designed to provide you with widgets and notifications regarding major global events that are likely to affect the currency market. This will help you to put timely orders and make a profit from the market.
Plus, offline forex trading is hectic and time-consuming. With the use of MetaTrader 5, you will receive all the benefits involved in online trading. Associate yourself with a broker providing this platform and start trading online. At times, initial investments may reap huge returns later.