This is not investment advice. The information provided is for educational and informational purposes only and does not constitute a recommendation to buy or sell any financial product.
MetaTrader is one of the most popular platforms for technical analysis in the forex and CFD markets, and the same capabilities apply to stock trading through brokers that offer stock CFDs or stock futures. The platform's charting, indicators, trend lines, and automated pattern recognition tools make it a comprehensive technical analysis workstation.
The technical analysis on MetaTrader is done through the charting interface, the indicator library, and the custom tools (the trend lines, the channels, the Fibonacci levels, the Gann tools). The trader can set up the charts with any combination of indicators and tools, and the trader can save the chart layouts for different strategies and different stocks.
The charting for technical analysis
The MetaTrader charting is based on the Japanese candlestick chart, with the open, high, low, and close for each time period. The trader can also use the bar chart and the line chart. The charting supports the multiple time frames (1-minute to monthly), the multiple chart windows (up to 10 charts on the same screen), and the chart templates (saved chart layouts with the indicators and the drawing tools).
The charting also supports the zoom (the trader can zoom in and out of the chart), the scroll (the trader can scroll through the historical data), and the crosshair (the trader can see the price and the time at any point on the chart). The charting is the primary interface for the technical analysis.
The indicators for technical analysis
The MetaTrader indicator library includes more than 50 built-in indicators, organised by category. The trend indicators (moving averages, MACD, Ichimoku, Parabolic SAR) identify the direction of the trend. The oscillators (RSI, stochastic, CCI, Williams %R) identify the overbought and the oversold levels. The volatility indicators (Bollinger Bands, ATR, standard deviation) measure the volatility of the price.
The volume indicators (volume, on-balance volume, money flow index) measure the trading volume. The Bill Williams indicators (Alligator, Accelerator, Awesome Oscillator) are a separate system of indicators that are popular among some traders. The custom indicators are written in the MQL4 or MQL5 language and can be added to the platform.
The trader should use the indicators that match the trading strategy, and the trader should use a small number of indicators to avoid the clutter.
The trend lines and the drawing tools
The MetaTrader drawing tools include the trend lines, the horizontal lines, the vertical lines, the channels, the Fibonacci retracements and extensions, the Gann lines, the Elliott wave tools, and the geometric shapes. The tools are used to draw the support and resistance levels, the trend channels, the Fibonacci levels, and the pattern projections.
The trader should use the trend lines to connect the swing highs and the swing lows, to identify the trend direction and the potential reversal levels. The Fibonacci retracements should be used to identify the potential pullback levels in a trending market. The horizontal lines should be used to mark the key support and resistance levels.
The pattern recognition
The MetaTrader platform does not have a built-in pattern recognition tool (a tool that automatically identifies the candlestick patterns and the chart patterns). The pattern recognition is done manually by the trader, through the visual analysis of the candlestick patterns (doji, hammer, engulfing, harami) and the chart patterns (head and shoulders, double top, double bottom, triangle, flag).
Some brokers offer a MetaTrader plugin for pattern recognition, and some custom indicators are available for the pattern recognition. The trader should be cautious with the automated pattern recognition, because the accuracy of the automated tools is not always reliable.
The time frame analysis
The technical analysis on MetaTrader should be done across multiple time frames. The trader should use the longer time frame (daily, weekly) for the trend, the medium time frame (4-hour, 1-hour) for the swing direction, and the short time frame (15-minute, 5-minute) for the entry and the exit.
The analysis across multiple time frames gives the trader a more complete picture of the market, and the trader can identify the levels that are significant across all time frames.
Common questions about MetaTrader technical analysis
Can I use MetaTrader for stock technical analysis? Yes, through brokers that offer stock CFDs or futures. The charting and indicators work the same way for stocks as they do for forex.
Does MetaTrader support real-time data for stocks? The data comes from the broker, and the delay depends on the broker. Some brokers provide real-time data, and some brokers provide delayed data with a few seconds to a few minutes delay.
Is MetaTrader compatible with other analysis tools? MetaTrader can export the historical data to CSV, and the data can be imported into other tools (Excel, Python, R, TradingView). The export function is in the File menu.
Related resources
Where to start
If you are evaluating MetaTrader for technical analysis, the most useful first step is to download the platform, open a demo account, and set up the charts with the indicators and the drawing tools that match your strategy. Our broker comparison lists the MetaTrader brokers and the available products, which together tell you what the platform looks like before you open a live account.