Topic: MT4 lots and leverage (Read 124 times)

We know that forex trading existed long before the discovery of cryptos and Meta4 was the in-thing then. That explains it. MT5 is a new discovery and an update on MT4. So, it's expected that most forex brokers are already hooked up on that platform. I've also see a broker that has Mt4 and Mt5 platforms. It's a matter of choice, I think.

That's the way of criminal brokers and we've them a lot in FX. The advantage FX trading has over cryptos is that such brokers can be reported to regulatory bodies if you've solid proof against them or you drag them to www.forexpeacearmy.com (FPA) which they dread. I once took a broker to FPA and won my case against the broker.

Sorry that this might be coming so late, I just saw your topic.

Please, note that the MT4 trading platform is the most popular trading platform in the world, and those who started trading by using it would know much more than those who just started trading with exchanges. This is why the issue of leverage and lot sizing on it is an issue to you, mind you, they are the same with exchanges, only that they are defined differently.

For this, let me go straight to what you need to know;

Leverage: It's a kind of loan and it comes in the ratio in MT4 like 1:500. What your broker offers you with what leverage you choose would determine the amount of risks you can take. And the 1 represents your capital, while the 500 represents the loan you take. Even though your balance would read the same but your purchasing power has been increased by it.

But at times, the broker has a different margin for crypto than the general one you selected, so you have to learn what exactly they offer you.

Lot: This is the power of multiplication of your position just like the x10 in exchanges. Also, brokers might be different in their definition of this, as some might allow you to open 1 lot and your position would be reading x10. But to some, 1 lot will only mean x1. Find out with your broker, and it's easy through the demo practice.

Mt4 is good for forex but shouldn’t be used for crypto. What broker are you using? Most likely you are not trading real BTC but some bucket shop derivatives. What that means is your order is not routed to the open market. You are trading against your broker which wants you to lose because it’s their gain.

So it’s great if you lose all your money but if you actually make a profit they will use any slight error in their terms agreement to void the trades and close your account. My advice is get a real broker.

You can use EAs in MT4. So instead of manualy computing for your lot size, you can use this easier. It is depending on the perentage you are risking and is free.
It is very useful for me and I think it will benefit other traders too.
Here is the link and it is free: Lot by Risk https://www.mql5.com/en/market/product/56019?source=External

I beleive you can also see tutorials on it even on YT. Good luck and good trading pal.

I am still confusseed
I cant find crypto related advice on MT4 attempted another trade yesterday with $2600. Went to put 1 volume again in the trade but got a message saying I dont have enough funds so lowered it to 0.5
Was instantly down $300 I know there is a spread but 10% difference is a lot

I also cant see where to to set the amount I am using per trade so I am not putting on the full amount

I have been trading crypto for a while and with leverage on Binance.
I have had a break for a while and wanting to restart hence me looking at different platforms

My issue is more with MT4 and understanding how to set leverage or lots on it

You will be better off on spot trading than futures as it's now. From the type of questions you've been asking it's obvious you're a greenhorn in trading. Don't experiment with that much cash. Just buy Bitcoin and leave it for next year. That way, I can assure you it must roll into profit. If you decide to do otherwise and trade it yourself on futures, count your losses. You're bound to lose all, even if it's $2000 trading capital. Don't jump into trading, especially futures. It's volatile. Equip yourself with the set skills for trading. You can source trading materials on YouTube at al and learn all there's to trading before venturing into it.

As an aside, why not do a 5% on leverage if you must insist on trading futures at all cost. Don't forget to take a long position on Bitcoin. Don't swim against the tide.

according to this article 1 lot in crypto equals one base unit
so in btc 1 lot = 1 btc

https://cryptoaltum.com/en/blog/information-hub/how-to-calculate-crypto-margin-and-profit

Yeah, You will definitely get busted instantly with that balance and lot size. You're lucky that it's still in the demo but I do commit that kind of mistake when I'm new on MT4. I really don't like the UI/UX of their platform and decided to use a much simpler platform for forex trading. I'm not recommending this app but I'm currently using XM app because it's simple and has a better UI. It is MT4 and MT5 compatible but it requires KYC since it's fiat platform.

Yea I dont like MT4 but seems the main tool that is used especially with demo accounts
So I had a starting balace of 5000 I out in a short with volume at 1 I thought that was one btc so leverage around 6x
was I buying 100,000 btc 

On MT4, Volume is expressed on standard lot size which is 1 = 100,000 units, So 0.01 volume equals to 1000 Units which is the minimum volume by the time I use this platform. The volume determines your leverage which means the greater the volume you input means the higher your leverage is.  AFAIK, You can modify your position size once you already have an active order. There are a lot of guides on Youtube btw.

MT4 is really hard to use compared to leverage trading on crypto exchange because the leverage and volume can be modified separately.

OK I was looking at other brokers and trading platforms recently and noticed most use MT4
I signed up for demo account with one downloaded MT4 to my desktop and put on my first trade btc/usd.

I lost but thats not the issue - I am trying to figure out how lots and leverage work with it
In binance its easy select -coin - select leverage select how much of balance you want to use.
With MT4 I need to select volume with I believe is lots. But what is a lot in btc or crypto and how do i set leverage.

I place da short trade btc/usd at 1 volume. Lets just say to trade was a mess

If I have a balance of $2000 and want to trade it all on btc/usd with a 10x leverage how do I do that

Thanks