Learn how to trade US30 on MT4 by following this step-by-step tutorial. Creating an account, downloading the MT4 trading platform, and entering your first US30 trade all will be covered in this tutorial. Before you begin trading, you should be aware of a few other crucial details, such as the contract’s details and the associated charges. The fact that it differs between brokers makes it crucial to double-check this before you begin trading.
A Step-by-Step Tutorial for Installing and Configuring MetaTrader4 (MT4) on Windows
It shouldn’t take more than a few minutes to install MetaTrader 4 (MT4) on Windows because the process is quite easy to understand and follow. But first, you must have the following system prerequisites in order to operate MetaTrader4 on your PC device:
- CPU of 2.0 GHz or higher
- Using Windows 2000 or later
- 1024 x 768 screen resolution
- A minimum of 512 MB RAM
Now that you most likely meet the aforementioned system requirements, you can begin the MT4 installation.
First, download MetaTrader 4 for Windows.
The MetaTrader4 trading platform needs to be downloaded to your computer first. Remember that you can access both your real live trading account and your demo account from the screen.
Step 2: Open the installation file (mt4setup.exe), accept the license conditions, and select “Next.”
The MT4 setup file box can be found once you access the installation folder. Prior to accepting the MT4 license agreement, click the Next button. You must next select the installation folder, which is where the program files and trading software will be stored on your PC device.
On the following screens, click the Next button to continue the installation procedure.
Step 3: To exit the installation after it has been successfully finished, click the Finish option.
Simply click the Finish button on the following screen to finish installing MetaTrader4.
The downloaded software will then appear on your computer (If you can’t locate it on your desktop, look for MetaTrader4 in the Windows search icon and move it to your desktop.).
Step 4: To create a demo account, click “Next.”
You can select the trading server in a popup that appears after you click the MetaTrader 4 icon on your desktop. Normally, your CFD broker should supply you with this information, but you can also visit the official MetaQuotes website and request access to a demo account.
Click the Next button when you have correctly entered the trading server information.
Step 5: From the drop-down menu, choose “New Demo Account,” and then click “Next.”
If you have the credentials from your forex broker and an active trade account, you can log in in the following window. If not, select New Demo Account and then select Next.
Step 6: A fresh pop-up window will show up. Choose the appropriate options for your account type, deposit, leverage, and currency, then click “Next.”
You must fill out your personal information and set up your demo account’s default settings in this stage. The account type (forex, CFDs, etc.), leverage ratio, currency, and quantity you intend to utilize as virtual money are examples of this information. Our investment advice is to deposit an amount that is realistic or equal to the amount you intend to deposit when you register a real account if you intend to use a demo account to gain real trading experience.
You will now be given a user ID and password. Keep your password and user ID secure. To sign in, click “Finish.”
You will receive your user ID and password for logging into your MT4 trading account in the final stage. You will be directed to the mT4 client terminal after clicking the Finish button to complete your first login. However, keep in mind that you can access your practice MT4 account the following time by double-clicking the MT4 icon on your desktop and entering your login information in the first window that displays.
You can now begin trading with your newly formed trading account! It ought to resemble the illustration below in some ways! From there, you may get rates for foreign exchange currency pairs, indices like the US30, NAS100, and US500, charting tools, navigator, account information, expert advisors, plugins, etc. via MarketWatch.
You can utilize the same trading tools accessible on a real live account on a demo trading account, so keep that in mind. It is an excellent resource for novice investors to become accustomed to the MetaTrader 4 platform.
Things to Think About Before Installing MetaTrader4
As you can see, installing MetaTrader 4 on your computer if you use Windows is simple and uncomplicated. Also, if you wish to download and use the MT4 trading app on your android device, the process is even easier. Basically, all you need to do is to navigate to the GooglePlay store and download MetaTrader 4 to your android device.
Another thing to think about is that MetaQuotes has now made it possible for traders to utilize MT4 on Mac OS devices such a MacBook, iPad, and iPhone. As a Mac user, I can attest that using MetaTrader 4 used to be rather difficult, but not anymore. In reality, you may use the identical lesson by downloading MetaTrader 4 directly from the AppStore.
You must be aware of all installation choices and how to download MetaTrader 4 onto your computer because it is the primary trading platform used by the majority of CFD brokers that provide accounts for regular investors. You can begin exploring the platform after you finished installing it.
The US30: What is it?
The stock prices of 30 significant, publicly traded firms with headquarters in the US are tracked by the Dow Jones Industrial Average (DJIA), a price-weighted index. Charles Dow and Edward Jones created the DJIA in 1896. Since its creation, it has grown to be the most well-known gauge of the success of the American stock market.
The index includes businesses from a range of economic sectors, including those related to transportation, communication, financial services, technology, and health care.
Because the DJIA is a US-based index with 30 companies, it is frequently referred to as the “US30” by many traders and online brokers. The DJIA’s price is tracked through the CFD (contract for difference) known as the US30. You can check our complete explanation of DJIA here
Finding US30 on MT4 to Begin Trading
Follow these steps to add US30 to the Market Watch window:
- Click Symbol by performing a right-click anywhere in the Market Watch window.
- Choose CFD Future or CFD Cash.
- To include the US30 in the Market Watch window, double-click them. You can also choose the instrument(s) by clicking on them, then select Show from the right-hand menu.
The majority of Forex firms currently provide traders with a US30 index. In MT4, US30 can be represented via CFD contracts (Cash and Futures).
Trading Cash CFDs is crucial right now in the market. Trading in futures CFDs, which involves buying and selling a product’s future price up to a specific maturity, is a type of derivative trading. You can select the product you want based on your demands.
Why Would You Want to Trade US30?
The majority of investors are aware that using the main index is a wise decision that enables traders to create a portfolio that is secure, diversified, and productive. But not everyone is aware of the true benefits of investing in US indexes, particularly US30.
The index’s key benefits are as follows:
Low Expenses: The index has a lot to gain by having low costs, which also give investors long-term returns. The costs of administering an index are significantly cheaper than those of actively managed funds when managers don’t have a lot of time or money to invest in researching stocks and bonds for their portfolios. The investor then benefits from these cost savings.
Diversification: By investing in an index, a person can profit from the returns of a significant portion of the market. The index frequently holds hundreds or even thousands of stocks, whereas actively managed funds may have fewer than fifty. The market risk of funds with more holdings is typically lower than that of funds with fewer holdings, and the index frequently offers a wider selection of assets than its actively managed competitors.
Investors in US stocks are most interested with US30 since it is a desirable, secure, reliable, and profitable instrument. Let’s open an order on MT4 or submit a pending order if you analyze the price chart and discover a good opportunity to trade US30. Also, keep in mind to use risk management methods to prevent negative events.
The Steps for Entering Your First US30 Trade on MT4
You can either open a fresh order window to place your trade or a price chart to analyze the performance of the US30 (DJ). Right-click the DJ icon to bring up a menu, and then choose chart window or new order from the list that appears.
You’ll see a new order window emerge, and MT4’s US30 trading is now available to you.
By selecting “buy by market,” you can profit from rising US30 prices. Click sell by market if you wish to perhaps profit from the US30’s declining pricing.
You should first determine your risk tolerance and if the US30 is going to rise or fall before doing so. On the following page, I will describe how to trade US30 on MT4 while taking risk management into account.
Having said that, MT4 also enables you to carry out trades utilizing several order types. Depending on your tactics and plan, this gives you greater flexibility while trading US30 on the MT4 platform.
Trade US30 With Pending Orders on MT4
Choose pending order from the order window’s drop-down menu to alter the order type.
Four pending order choices will be provided to you, including two for buying and two for selling scenarios. I’ll clarify when to utilize each one.
Buy limit – Use this pending order to purchase at a price lower than the current market price.
A sell limit is a pending order to sell something at a price higher than the current market rate.
A buy stop pending order is an order to purchase at a price higher than the current market price.
A sell stop is a pending order that is placed below the current market price in order to sell as the price decreases.
Check out this info-graphic to learn more about the various pending order kinds on MT4.
How Much Capital is Required to Trade US30?
Before trading any instrument on any broker’s platform, you should review the contract specifications. You can do so through the MT4 trading platform. Simply right-click on the symbol in the market watch window and select specification from the menu that appears.
A lot is equal to 10 DJ contracts, as indicated by the contract size of 10, which reads from top to bottom. For the volume field in the order window, choose 1.0 to buy or sell 10 contracts of the DJ(US30).
The margin percentage displays how much free margin (balance) is required in your account in order to open transactions. Therefore, at the time of writing, you would require $3,650 to open 10 contracts of DJ(US30) (10 times the present market price x 1%)
Each index point in the price of the DJ(US30) 10 futures will be worth $10. Therefore, if the index increases by 50 points, from 36500 to 36550, the corresponding gain or loss will be $500.
Instead, you can trade fewer contracts, with a minimum volume of 0.01 lots and margin of around $36.50. This means that for better risk management, you can purchase or sell for as little as 1/10th of a DJ(US30) contract.
Trading contract portions enables better risk management. Trading 0.01 lots would result in an equivalent profit or loss of only $5 for a move of 50 points.
To understand how everything works, it could be a good idea to try opening agreements in a virtual setting. To learn how to trade US30 on MT4 without taking any risks, get a demo account.