MetaTrader 5 is the latest version of the acclaimed and popular forex MetaTrader trading software. It was released recently in a beta version and we did not want to miss the chance to examine the exciting new forex platform in our own MT5 review. On the whole, the design and the interface remain similar to the previous version – a great choice, since the flexibility and ease of use are the main features that have made MetaTrader 4 so popular.
If you have multiple accounts, it is easier than ever to manage them with MT5, since the new accounts window in the “Navigator” allows movement between accounts quickly and easily, enabling the employment of different strategies in different accounts with almost no delay or trouble. If you choose to create two accounts in which you carry trade, and scalp, for example, it has never been easier to switch between the two categories to respond to sudden market events. Active traders will no doubt love this feature, but even investors committed to the long-term will be pleased to admit the time saved by the new addition.
The interface is focused on the main window where you can simultaneously display multiple graphs of the forex price action, or focus on a single large panel to trade your favorite pair with great ease. Some of the buttons and icons found on top of the panel in MT4 are not enabled by default in MT5, but as the software moves out of beta, this feature will be implemented once again.
The greatest new additions are the large number of new indicators added to the already significant technical analysis collection of MetaTrader 4. Unlike in the previous version, MetaTrader 5 divides forex indicators into the four groups of “Trend”, “Oscillators”, “Volumes”, and “Bill Williams” indicators categories. A fifth category of custom indicators is also available where traders can store imported or developed items. The new indicator group system is suitable for the classification of the larger number of analytical tools – it makes access easier and faster.
New trend indicators are, among coverages, the Fractal Adaptive MA, the Adaptive MA, the Double and Triple Exponential Moving Averages, and the Variable Index Dynamic Average.
Of these, the double exponential moving average (DEMA) is an advanced tool with lesser lag and greater accuracy than a simple EMA, and emits its signals by taking the n-period EMA of an EMA, hence the double MA name. Similarly a TEMA, or Triple Exponential Moving Average calculates the EMA of the n-period EMA of the raw price EMA, and is thought to suffer from even less lag than the double exponential moving average DEMA. All the moving averages are used in the manner that their more common simple and exponential moving averages are employed in trend analysis.
Among oscillators the new addition is the Triple Exponential Average. TRIX features a Triple Exponential Moving Average, and oscillates around a centerline at 0. Efficient filtering out of market noise is the greatest advantage of this indicator.
Finally, the new category of “Bill Williams” indicators has the new Market Facilitation Index added. This tool emits signals on the basis of the interaction between volume, price and the indicator itself.
The total number of new indicators is seven. Among these, five new trend indicators clearly possess the greatest emphasis. The Double- and Triple Exponential Moving Averages, and their derivatives are the most exciting new additions to the MetaTrader toolbox, promising revolutionary changes to the way risk is analyzed and traded.
For those who prefer auto-trading, MT5 comes with an advanced trading script, and a powerful expert advisor. The MT5 script is as strong as ever, and this new version sees previous bugs and errors adressed, and the language improved and condensed into a more efficient and user-friendly form. The Expert Advisor now enables the pre-made chart-in-chart style, which enables more in-depth analysis of the technical strategy being tested.
There are very few things to be criticized in the MT5 release. All the advantages and great features of the MT4 platform are still here, with everything placed in a better context and a more orderly outlay in order to achieve greater efficiency. It is especially refreshing to see that the developers have chosen to avoid the impulse to innovate in the name of innovation, and have kept the orderly and simple form of MT4 intact.
On the indicators front, we are most impressed by the TRIX and TEMA indicators. Both of them enable an incredible degree of clarity to potential trades, and make the evaluation of market action far more concrete and objective than what it was before. TRIX is a great oscillator that takes advantage of the clarity of TEMA to take us to the next generation of oscillators, in the process overcoming many of the traditional weaknesses of oscillators, namely lag, and susceptibility to whipsaws.. There is no question that the highlight of this new release is the powerful indicator pack which in itself justifies a move to a broker offering an MT5 trading experience.
The script and the expert advisor feature few improvements, but a good deal of refinement and retouching seems to have gone into the works as the forex software was on the development block. This means that we will have fewer problem with execution and creation of automated strategies – an area where MetaTrader always had the edge.
In sum, in MT5 you have an already supremely effective trading solution outdoing itself to higher highs. It is as simple and as powerful as ever, but since it is still in the beta stage, there is a good chance that the final product will be an even better version of the original. Don`t hesitate to test it for yourself. If you have never tried MT4, you will regret what you have missed over the years, and if you are already a fan of MetaTrader software, you will find that the developer have not failed to excel in what they do so well once again.
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