Forex Traders
Frequently Asked Questions
About T4TCapitalFM
Are you regulated?
What is Forex Trading?
Where do you get your pricing from?
Where are your offices located? Can I visit your office?
Where are your trading servers located?
Is my personal information safe?
What is a lot?
The basic contract unit of the Retail Foreign Exchange is the lot.
The standard lot size is 100,000 units of the base currency, known as a Standard Lot (1st currency in the currency pair), however you can also trade either multiples of, or fractions of, lots. The minimum at T4TCapital is 0.01 lot.
Example: Buying 1 lot on the GBP/USD market is the equivalent to buying ￡100,000 and selling the equivalent amount of USD at the current rate.
Lot Size Units of base currency (First currency)
1 100,000
0.1 10,000
0.01 1,000
What is the minimum lot size I can trade?
What is a pip?
What is leverage?
Leverage is a way to make larger investments than the initial risk capital will allow.
For example: A trader can use 1:500 leverage and can control a $500,000 trade with $1000.
What does the spread mean?
What is the required margin?
What is the difference between balance and equity?
How do I calculate the required margin?
Margin = Base Currency Volume / Leverage
Example 1:
Account Currency: USD
Currency Pair: USDCAD
Base Currency: USD
Volume = 1.00 lot (100,000 units of base currency)
Leverage = 1:500
Margin = (100,000 * 1) / 500 = 200.00 USD
Example 2:
Account Currency: USD
Currency Pair: EURUSD
Base Currency: EUR
Volume 0.10 lot (10,000 units of base currency)
Leverage= 1:400
Spot rate EUR to USD = 1.1400
Margin = (10,000 * 1.1400) / 400 = 28.5 USD
Example 3:
Account Currency: USD
Currency Pair: GBPCHF
Base Currency: GBP
Volume: 0.20 lot (20,000 units of base currency)
Leverage: 1:100
Spot rate GBP to USD = 1.3200
Margin = (20,000 * 1.3200) / 100 = 264.00 USD
How do I calculate the profit/loss of a position?
To calculate the profit or loss of a position:
BUY Positions
Profit = (Closing Price – Opening Price) * Volume
SELL Positions
Profit = (Opening Price – Closing Price) * Volume
Keep in mind that the profit is calculated on the quote currency, and you will need to multiply the exchange rate between the quote currency of the traded pair and the account base currency.
Example 1:
Account Currency: USD
Position: BUY 1.00 lot EURUSD
Opening Price: 1.14000
Closing Price: 1.14500
Volume: 100,000
Exchange rate to USD = 1
Profit = (1.1450 – 1.1400) * 100,000 = 500 USD
Example 2:
Account Currency: USD
Position: SELL 0.10 lot USDCAD
Opening Price: 1.3400
Closing Price: 1.3380
Volume: 10,000
Exchange rate CAD to USD: 0.747
Profit = (1.3400 – 1.3380) *100,000 = 200 CAD
Profit = 200 * 0.747 = 149.4 USD
Example 3:
Account Currency: USD
Position: BUY 1.00 AUDNZD
Opening Price: 1.0250
Closing Price: 1.0210
Volume: 100,000
Exchange rate NZD to USD: 0.6920
Profit = (1.0210 – 1.0250) * 100,000 = -400.00 NZD (Loss)
Profit = 400 * 0.6920 = -276.8 USD (Loss)
What is Margin Call?
A margin call occurs when the account equity falls below the required margin.
Once your margin level goes below 100%, your account will go into margin call. You will no longer be able to open new positions. To avoid further losses or liquidation (which happens at 30% on our accounts), the client must either deposit more funds into the account or close some of the positions to raise back his margin level.
What is the Stop out level?
If your Equity falls to less than 30% of the required margin, your trade(s) will be closed out by our Automated Risk Management System starting with the position with the greatest loss, until your equity can support 30% or higher of your margin requirement.
You need to make sure that you fund your account well in advance to make sure you can support your margin requirements. To calculate the margin level (%), apply the following:
(Equity / Margin held on open trades) x 100
Equity equals your balance plus or minus floating profit or loss.
Margin is the amount of funds being used to hold a position open.
Margin level is the equity divided by used margin multiplied by 100.
Do you allow Scalping?
Do you allow Hedging?
What is the Margin Requirement for hedged positions?
Our margin requirement for hedged positions is Zero.
When you decide to hedge a position in one particular instrument (respectively buying or selling the same amount of that instrument), there will not be any margin needed to maintain the hedged position. As such, your net position will be equal to zero.
As a result of the decreased margin, you will have the benefit of more available funds.
If the required margin for hedged positions is 0, how can my positions be stopped out?
While there is no margin requirement requested for fully hedged positions, this does not protect your orders to be closed out at one point.
Mainly this is related to spread widening. Spreads may widen depending on the product you are trading during overnight hours, over news releases, during market opening and market closure, as the liquidity is thin, and the volatility is high.
This can also be related to the overnight financial charges, which apply to each position if you keep them open over rollover, which takes place at midnight MT4 platform time each trading day.
The moment the equity on your account falls below zero your open positions will be closed out, so it is important to ensure you have funds to support your account.
Are my trades guaranteed?
What is slippage and why does it happen?
What are Forex Trading Hours?
The time on MT4 is shown as Eastern European Time (EET).
During Daylight-Saving Time, EET is 3 hours ahead of Greenwich Mean Time (GMT +3). During Standard (Winter) Time, EET is 2 hours ahead of GMT (GMT +2).
The end of our trading day always aligns with the market close in New York.
Can I trade outside the trading hours?
What currency pairs can I trade?
How is a currency pair read?
What does base and quote currency mean?
Content TBC
Content TBC
What are CFD’s?
What is the Meta Trader 4?
MetaTrader 4 is a trading platform developed by MetaQuotes Software for online trading in the forex, contract for differences (CFDs) and futures markets.
MT4 provides tools and resources that allow traders to analyze price, place and manage trades, and employ automated trading techniques.
How do I download the Meta Trader 4 Platform?
To trade the T4TCapital FM accounts you will need to download our version of MT4. You may download the T4TCapitalFM MT4 below.
DOWNLOAD THE NEW MT4 AND FOLLOW BRADS VIDEO – Get Started
Can I download the MT4 platform on my Mac computer?
Can I download the MT4 platform on an iPad/iPhone?
Can I download the MT4 platform on my Android device?
How do I login to my account on the MT4 platform?
In order to login to your MetaTrader 4 platform, you will need your login number, password and server. These credentials are sent to your registered email address.
Once your MT4 has downloaded. In the authorization login box that appears on your screen, please enter your credentials and select the correct server from the drop-down box. You can also go to ‘File’ > ‘Login to Trade account’ and the authorization login box will also appear.
Can I login to my trading account from different devices?
In order to login to your MetaTrader 4 platform, you will need your login number, password and server. These credentials are sent to your registered email address.
Once your MT4 has downloaded. In the authorization login box that appears on your screen, please enter your credentials and select the correct server from the drop-down box. You can also go to ‘File’ > ‘Login to Trade account’ and the authorization login box will also appear.
What happens to my positions if I logout of the MT4?
Do you have a multiterminal MT4? (UK/EGM Website)
How can I change the language on MT4?
Which time zone is the Meta Trader 4 platform in?
During daylight savings timing, the time zone on the MT4 is GMT +3.
During winter timing, the time zone on the MT4 is GMT +2.
Our MT4 timing always coincides with the NY close.
Can I change the time zone on my MT4?
What Price is shown on the MT4 charts?
The prices shown on the charts are the BID prices only. You can monitor the ASK prices instantaneously through the chart of the market watch. However, all history prices on the charts show the BID (sell) prices only. To know what the ASK price was at a specific previous time, you will need to consider the possible spread.
You can add the ASK line to the chart by right clicking on main body of the chart, click on ‘Properties’ > ‘Show ASK line. The ASK line will then appear showing you the current BUY (ASK) price.
You can also see both the BID and the ASK price in the Market Watch which displays the symbols, prices and spreads depending on what you choose to add to the columns.
How do I place a trade on the MT4 platform?
The MetaTrader4 order window is used to place trades. The order window can be opened using any of the following methods:
Right-click on a currency pair in the Market Watch window and select “New Trade”; or
Right-click on an active chart and select Trade > New Order; or
Click on the “New Order” button in the toolbar, or
Press the F9 hot key on the computer keyboard.
You can also enable ‘One Click Trading’
Placing an Order
Once the Order window has been opened, traders can enter information into fields and make selections from drop-down lists to prepare the trade order.
You must specify the following:
- Symbol from the drop-down list at the top (this will automatically be set to the symbol on the active chart). A corresponding tick chart appears in the left pane that displays current prices.
- Volume in terms of lot size. 1.0 is equal to 1 lot, or 100,000 units. You can also select to trade in smaller volumes, such as 0.1 or 0.01.
- Stop Loss and Take Profit set a limit that you would like your trade to be closed at.
- Comment if desired. Traders can enter text in the Comment field that will be assigned to the order.
- Type either Market Execution (a market order) or Pending Order (a limit order; discussed more in the Pending Orders section) where the trader can specify the desired entry price.
After these fields have been specified:
- Click “Sell by Market” or “Buy by Market”, depending on the desired trade direction, to place the trade.
- Click “Okay” to close the window.
Pending Orders
If a Pending Order is selected, select the type of order from the drop-down menu. Available order types include:
- Buy Limit: buy, provided the future “ask” price is equal to the pre-defined value. The current price level is higher than the value of the placed order. Orders of this type are usually placed when anticipating that the security price will increase after having fallen to a certain level.
- Sell Limit: sell, provided the future “bid” price is equal to the pre-defined value. The current price level is lower than the value of the placed order. Orders of this type are usually placed in anticipation of that the security price, having increased to a certain level, will fall.
- Buy Stop: buy, provided the future “ask” price is equal to the pre-defined value. The current price level is lower than the value of the placed order. Orders of this type are usually placed in anticipation of that the security price, having reached a certain level, will keep on increasing.
- Sell Stop: sell, provided the future “bid” price is equal to the pre-defined value. The current price level is higher than the value of the placed order. Orders of this type are usually placed in anticipation of that the security price, having reached a certain level, will keep on falling.
Then specify the price at which the order will be triggered at by entering the value next to the ‘at price’ field. To avoid manually entering the price, click on the up or down arrow next to the price field to fill in the current price, and adjust as necessary.
How can I close a trade?
In the Terminal window click on the trade tab and highlight your open position, double click on it and the new order window will appear.
Click on the yellow button below ‘Sell’ and ‘Buy’ to close out a position.
Right click on the highlighted order and select Close Order.
If one-click-trading is enabled, you can close a position in clicking on the ‘X’ on the right hand side of the order line in the Terminal window.
How can I see all the available products on my MT4?
Can I use Expert Advisors and Autotraders on the MT4?
How can I install an Expert Advisor (EA) on my MT4?
With regards to the installation of the Expert Advisor, please follow the steps below:
• Go to ‘File‘ and select ‘Open Data Folder’ on the MT4 Platform.
• Go to ‘MQL4’ and open folder ‘Experts’.
• Transfer the EA files into the folder and close the MT4 trading platform.
• Once you open your trading platform again, the Expert Advisor will appear on your ‘Navigator’ list on the MT4 platform.
Regarding the use of Expert Advisors or third-party indicators, please note that Equiti does not have any restrictions in place as long as they are compatible with the MT4 platform.
Can I use third party indicators and Expert Advisors?
Can I use a Virtual Private Server (VPS)?
Can I use third party indicators and Expert Advisors?
To create a statement from the platform please follow the instructions below:
- Open the platform and login
- Select the ‘Account History’ tab in the ‘Terminal’
- Right click in the middle of the terminal and select custom period
- Select the start and finish date for the tax year you are looking at and press ‘OK’.
- The history from the period selected will then fill the ‘Account History’ section
- Right click again and select ‘Save Report’