3 Things You Must Know About Trading Online in Australia
If you are looking to venture into trading, online trading can help you kickstart your journey super quickly. As a newbie, dealing with stocks and shares can seem intricate unless you can do it from the comfort of your home. Trading online is not only convenient but also can be cost-effective. You can use multiple trading platforms to trade stocks and other securities from anywhere. You just need to open an account with one of Australia’s leading financial online trading platforms before you start trading online for real money. Platforms like mt5 in Australia are highly user-friendly.
Types of Trading Platforms
Equity trading involves buying stocks from a company to make money from the stock’s increasing value over time. Stocks are essentially pieces of ownership in businesses, so when you buy a stock, you’re buying a small part of that business at that moment in time.
There are two types of platforms:
- MT4 – The first and most popular online trading platform, MT4 is a desktop platform. It has been around since 2001, so it’s tried-and-true and offers many features that make it user-friendly. It includes an integrated charting package, automated trading (via Expert Advisors or “EAs”), multiple time-frames on one screen, built-in technical indicators and more. Some brokers offer an integrated version of this program within their trading platform which can make it easier to use by removing any need for additional software installation steps (this is especially helpful if you’re a beginner).
- MT5 – This is a newer version of the MetaTrader 4 product line (released in 2013). This web-based solution is gaining popularity among traders due to its enhanced functionality compared with its predecessor, including greater flexibility when placing trades, more advanced portfolio management tools, support for algorithmic strategies and improved backtesting capabilities.
How to Open an Account
You can open an online trading account in Australia by visiting a trading platform’s website and clicking “Open an Account.” You will then be asked to provide some personal information, such as your name and address- so they can verify your identity.
Alternatively, you can call the broker directly and have them open an account for you over the phone.
How to Deposit Funds
When you are ready to start online trading with mt5 in Australia, you first should open a new account with a broker. You can do this by registering on their website and completing an application form. Once your application is processed, the broker will send you an email confirming the opening of your account.
After your account set-up is approved, you can deposit money into it to start trading. There are several ways in which this can be done:
- Credit card payment – This method allows traders who have an active credit card issued by one of Australia’s four major banks (ANZ, Commonwealth Bank, NAB or Westpac) to use their Visa or MasterCard at checkout when purchasing shares online;
- PayPal deposit – If you already have a PayPal account and would like to use this as payment for shares purchased online;
- Bank transfer – Many platforms allow investors from all over Australia who don’t want or need instant access to their money using electronic methods such as credit cards/PayPal but still want the convenience of accessing funds rapidly through transfers from their bank accounts into theirs.