If you’re new to the world’s financial markets and the basic concept of trading, we can understand why you may be tempted to invest in the forex market.
After all, this entity sees an estimated $6.6 trillion traded globally every single day, while its total value is thought to be more than 2.5-times larger than the world’s GDP.
However, this market is also known for its liquidity and innate volatility, so you’ll need the best possible tools to achieve success when trading currencies. In this post, we’ll compare three of the top trading platforms while asking which one is the best for forex beginners?
The MT4, the MT5, and cTrader – A Basic Overview
There are three trading platforms that dominate the global forex market; namely the MetaTrader 4 (MT4), MetaTrader 5 (MT5), and cTrader.
Unsurprisingly, the first two have been produced by the same company, with MetaQuotes the brand behind the two most widely used platforms of their type anywhere in the world. Interestingly, it’s the MetaTrader 4 that remains the standard-bearer in the forex market, despite this having been launched in 2005 and five years prior to the MT5.
Overall, the MT5 remains the preferred option amongst stocks and commodity traders, thanks to its more advanced programming language and improved software capabilities.
In contrast, the cTrader platform remains something of an outlier in the marketplace, while it’s also the newest of these options having been launched in 2011 by the Spotware brand.
The cTrader platform also boasts a completely unique design with a more contemporary interface, while it features software that utilizes the relatively commonplace C# programming language.
This makes the cTrader platform a relatively popular option amongst seasoned and well-versed traders, as it allows users to create various scripts and tools that empower advanced and automated orders.
Design Differences and Trading Capabilities
As you can imagine, the MT4 and MT5 interfaces are virtually identical, with the layout of the former having been incredibly well received by users and largely continued when the MetaTrader 5 platform was subsequently rolled out.
This simplistic but accessible layout is ideal for beginners, while the layout of its customizable charts and market watch function also allows for easy and consistent use.
The main interface also accommodates four live charts for the most popular major forex pairs and displays these prominently, with a raft of analytical tools and technical indicators easily accessible in the bottom left-hand corner of the display.
In the case of cTrader, this also boasts a simplistic design, albeit one that is decidedly more modern and contemporary. This also offers users the chance to change the theme of the interface, although this offers little more than an aesthetic addition for experienced traders.
However, both the MT4 and the MT5 offer the opportunity to customize charts and the way in which you’re able to view trades and analysis, enabling you to tailor a user-friendly experience that aids quick-fire decision making.
The Last Word
Ultimately, we’d recommend using the MT4 as a novice forex trader, not least because this platform is tailormade specifically for buying and selling currencies.
Additionally, the platform offers huge potential for customizing charts and analysis, while it’s familiar and simplistic design lends itself to inexperienced traders who are looking to get to grips with the market’s fundamentals.
Of course, you may want to progress to the MT5 or cTrader as you look to target new markets or diversify your portfolio, but the MetaTrader 4 remains the safest choice when starting out in the world of forex.