Advanced trading in MT4 Order Management

Presentation topic overview

– I collected the most important problems that trades have in their everyday trading and they are: 

  1. Placing price alerts after technical analysis
  2. Price action plan
  3. Important market events detection
  4. Risk and money management
  5. Managing orders (administration)
  6. Order execution
  7. Managing live trade and mindset
  8. Order Dashboard (Bonus FREE tool)

– Business Solutions

– MT4 Functions that solve problems

If you think that solving this problems is not important then I believe that you have a long way to go before you will become successful trader. All this problems have solutions that can be supported with MT4 program functions. I will explain each problem and then the solution that solves this problem.

Placing price Alerts

  1. Problems: Check price when approach our entry level or when level is broken (engulfed). Checking charts every hour
  2. Solutions: Receive Alert in MT4 or on mobile phone when our level is about to be hit or broken (engulfed)
  3. MT4 Functions: Custom text Alert and smart alert with price distance in pip
First problem is that trader need to place alerts on important price levels to get notification that price is near his entry or take profit level. So the main problem here is that if you trade multiple charts then you can forget what some alert from few days ago mean to you. So you always need to remember what you were thinking few days ago when you were placing alert. If you have 10 pairs and you trade on lower time frames, then you will get lost in all this notifications.
We also need to receive notification when the level is broken, because this is when decision point is created and fresh orders are in this broken zone. The solution for this problem is that we receive alert in MT4 or on mobile phone when our level is about to be hit or when is broken or someone will say engulfed. The MT4 function that solves our problem is custom text Alert where we can change alert message content.

Next function is smart alert with price distance calculation in pip. Here we will know how much pip distance is until our entry zone.

Price action trading plan

mt4 price alert
  1. Problems: We cannot automatically activate limit orders if price goes above certain price level (automatic pullback trading)
  2. Solutions: 
  • PA automation that will activate orders above defined price
  • PA automation that will deactivate orders if target is hit (no pullback after PA)
  • Program need to ensure fresh level after PA happens

      3. MT4 Functions:

  • Horizontal line that will activate/deactivate orders
  • Horizontal line that will ensure that level is still fresh after PA happens
Second problem appears after we finish technical analysis and we start to observe price action. Problematic is waiting for price action and then manual placing limit orders. Here we hope that price will do deep pullback after price action. If this pullback didn’t happen and price hits our target, then we need to delete pending orders from the market because this price action is not valid setup anymore. Even bigger problem occurs when day trader trades multiple pairs and he need to follow every chart and place or remove trades accordingly on lower timeframes.
This takes a lot of time and discipline to not miss out great opportunities and prevent trading setups that are not valid anymore.
Solution is to have price action automation that will activate orders above defined price and deactivate orders if target is hit, when there was no pullback after PA. Program also need to ensure fresh level after price action happens, because we trade only fresh levels where orders are not taken already.

Hopefully we have MT4 functions that will solve our problems and smart horizontal line that will activate/deactivate orders. We also have smart horizontal line that will ensure that level is still fresh after PA happens.

price action trading

Important market events detection

  1. Problems: Missing out good opportunities (managing multiple charts) Receive alert for Liquidity gap, big candle, fresh orders, uncompleted H&S pattern and Liquidity near our entry level (SL zone)
  2. Solutions: Send MT4 alert and mobile push notification when market event is detected
  3. MT4 Functions: SnD candle detection in our level, uncompleted H&S or Quasimodo detection in our level, Liquidity detection above or below our entry zone (LQ = high possibility trade)
Third problem is that trader can easily miss important market events that make great trading opportunities and market moves without him. Here again, we have time management problem because trader need to be present behind the charts most of the time to catch the best trading opportunities with high risk reward ratio.
For example we would like receive notification when Liquidity gap is created, or big unfilled order is detected, or big candle is printed on chart, or maybe uncompleted head and shoulders pattern is detected (someone call this pattern Quasimodo level).
We would also like to know when liquidity is crated above or below our entry price level.
The solution is to receive MT4 alert and mobile push notification when this kind of market event is detected.

In MT4 we have functions as SnD candle detection in our zone, uncompleted H&S or Quasimodo detection in our zone and Liquidity detection above or below our entry zone.

forex quasimodo

Risk and money management

  1. Problems (time): Lot size calculation for risk percentage (max 2%), calculation risk reward ratio for targets (RR>2), calculate total risk and total profit of grouped orders
  2. Solutions: Automatic calculations – Instead of using limit orders we can use smart rectangle that will represent our Order box (virtual hidden market order with entry and stoploss price)
  3. MT4 Functions: Smart Rectangle called Order box where we define risk percentage, number of orders, rectangle size and partial targets
Fourth problem is that we need to define the right lot size for every trade. If our strategy is that we always risk 1% of our account then every time we place order, the lot size will be different, because our account balance in changing while we trade. When we are defining targets for our trades, we also need to calculate risk reward ratio to see if trade is worth participating. We recommend that you don’t take trades if risk reward is lower than 2. This again takes your time and acquire discipline to calculate risk reward ratio for every target. If we place more than one order in our entry zone then we need to calculate the total risk amount of all orders. Again, wasted time that can be spend for some other things.
But most painful is this, that we will maybe delete these pending orders in future because market conditions changed, and our time and work was for nothing.
Simple solution is to have automatic calculations. Instead of using limit or market orders we can use smart rectangle that will represent our Order box and it will do all calculations in a second.
Like I said, in MT4 we have function, Smart Rectangle called Order box where we define risk percentage, number of orders, rectangle size and partial targets.
mt4 risk reward ratio

Managing orders (administration)

1. Problems (unnecessary work – time consuming):

  • Removing pending orders before big news and at the end of trading day
  • We cannot set partial targets (one order one target)
  • We cannot disable/enable limit orders
  • We cannot place or delete orders when market is closed

   2. Solutions: 

  • Time interval when orders cannot open
  • Virtual partial profits for targets
  • Order activation/deactivation function (virtual hidden market orders)

   3. MT4 Functions: Order time filter, Smart rectangle called Order box is virtual hidden market order

Fifth problem is that we need to place or delete pending orders depends on market conditions. This takes a lot of administrative work and time. For example if we are intraday traders then we need to remove pending orders before big news and at the end of trading day.
With standard limit orders we cannot set partial profits. We cannot disable or enable pending orders, but we need to delete or place them. The last and big disadvantage is that we cannot place or remove orders when market is closed. If there was news during weekend and outcome of this news was bad for our pending orders, then we are exposed to Monday gap opening that can take our money.
For all problems above we have elegant solutions. If we use time interval that prevent opening orders, then we can set time from and time to when orders cannot be opened.
The second solution is to have virtual partial profits that can cover our stoploss risk. The last function is that we can activate or deactivate Order box whenever we want, even when market is closed.

MT4 functions are Order time filter and Smart rectangle called Order box that is virtual hidden market order.

mt4 order manager

Order execution in mt4

 1. Problems (trading on LTF with big RR): 

  • Buy limit orders open with invisible Ask price
  • Sell orders stop loss is triggered with invisible Ask price (spread SL hunt)
  • Monday opening gap can open beyond limit order with huge spread
  • You cannot control spread cost with limit order (unrealistic risk calculation)

   2. Solutions: 

  • Order execution at bid price (also for SL level)
  • Opening gap order protection
  • Order Spread filter

   3. MT4 Functions: Order box (smart rectangle) execute orders at bid price, Order box doesn’t open orders if market is opened beyond price, Order spread filter open orders only below defined spread

Sixth problem is order execution. It happens a lot of times that your limit order was not executed because of Bid and Ask price difference. There are also a lot of other order execution problems that happens to trader everyday. Just stay with me and I will explain everything into details now.
Buy limit orders open with invisible Ask price and this is a problem because a lot of times our by limit order will not be opened if ask price will not go below our buy limit order.
It can also happens that Sell orders stop loss is triggered with invisible Ask price (this is called spread SL hunt). This usually happens in market after hours, if your stoploss is close to bid price.
Monday opening gap can open beyond limit order with huge spread that will cause big costs and a losing trade.
You cannot control spread cost with limit order (this is why we have unrealistic risk calculation). For example, if there are big news then the spread wide up and your risk calculations are not accurate anymore.
Solution is that we execute orders with bid price.
The second solution is that we have opening gap protection for pending orders. They will not be executed if price opens with huge spread or market opens beyond order box stoploss price.
We can control fixed costs with Order Spread filter.
In mt4 we have Order box (smart rectangle) that execute orders at bid price, Order box doesn’t open orders if market price is opened beyond pending order price, Order spread filter open orders only below defined spread and gives us stable risk calculations.
mt4 order execution bid ask price

Managing live trade and mindset

1. Problems: 

  • If our level is broken we need to exit trade if we get BE chance
  • We need to manage open trades if opposite price action is created

   2. Solutions: 

  • Function that will automatically set trade to breakeven if our level is broken
  • Placing custom text alerts if opposite price action is created. Exit at best price after alert (market mentality is changed)

   3. MT4 Functions: Order box Surender function, custom text alerts and mobile push notifications

The last problem is managing live trade and have adoptable dynamic mindset. As soon as trader opens position, he needs to look at this trade objectively from market prospective and not from his own emotional state. If our level is broken, we need to exit trade if we get BE chance. We also need to manage open trades if opposite price action is created.
Here we also have some good solutions to exclude emotional factor.
First is function that will automatically set trade to breakeven if our level is broken. Second is placing custom text alerts if opposite price action is created. Exit at best price after alert (after market mentality is changed)

MT4 Functions that will solve problem are Order box Surender function and custom text alerts with mobile push notifications when important level is broken or opposite price action is created.

mt4 breakeven break even

How to create Order box? (virtual market order)

With Trading box Order Management or Trading box Quick Order tool, you can create order box from rectangle with click on a button.

What is Order box? Order box is smart rectangle which defines market order with entry and stop loss price. When price come into activated order box, then the orders are opened.
With Trading box Order Management or Trading box Quick Order tool, you can create order box from rectangle with click on a button. Order box will calculate lot size for every order, total stop loss in deposit currency, risk in percentage of account balance, total profit from all targets and order box size in pips. Commission and spread are included in all calculations.

For each target it will calculate risk reward, profit in deposit currency and pip distance. Trader will be notified about all events and alerts on mobile phone via MT4 push notifications and Alerts in MT4.

Conclusion

MT4 Functions that solve problems are integrated into Trading box Order Management

Official website is http://www.mt4tradingbox.com/

Full webinar is here: https://www.youtube.com/watch?v=4IVZFWF7zik

Be good, trade well!