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Monday, July 15, 2024

How to Partially Close a Trade in MetaTrader 4

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Closing part of a trade in MT4 isn’t as obvious as it should be.

So in this tutorial, I’ll show you exactly how to do it.

The process is not hard and once you know how it works, you can take partial profits on your trades at any time.

First, let’s take a look at why you might want to do this.

Why Traders Take Partial Profits

The biggest reason traders close part of their trades early is to take some of their profits off the table, while still allowing themselves up to potentially capture bigger profits later.

This can give you a huge psychological boost and allow you to stick with the rest of your trade longer.

When a trade is in profit, then comes back and ends up in a loss, that can give you a huge case of Fear of Missing Out (FOMO).

Many traders will then try to make it back on the next trades, leading to overtrading, revenge trading, or taking profits too early.

So taking partial profits can help you achieve a balance of taking profits while you have them and letting your profits run.

But it’s not a magic bullet.

Be sure to backtest your profit taking method before implementing it.

Now let’s get into how to actually do it.

How to Take Partial Profits on a Trade in MT4

There are 2 ways to take profits in MT4.

I highly recommend doing this in a demo account if you’ve never done it before because if you don’t know what you’re doing, you could mess up a good trade and lose money unnecessarily.

Obviously, you should have a trade open that’s bigger than the 0.01 minimum lot size in MetaTrader, for this to work.

There are 2 ways to close part of a trade:

  • Double-click the trade entry line on the chart
  • Double-click the open trade in the Order window on the bottom of the screen

MT4 chart with open trade

When you do either of these things, you’ll see the Modify Order window.

Order modification window in MT4

Change the following:

  • Type: Change to Market Execution
  • Volume: Enter the number of lots you want to close
  • Close Button: Once all of the settings are correct, click the yellow Close button

That’s it!

Now you’ll see that the Size of your trade will be reduced in the Order window at the bottom of your screen.

Demonstration Video

If you want to see this in action, this video will show you exactly how to do this in MT4.

Final Thoughts

So that’s how to close part of your position in MetaTrader 4.

It’s very useful for taking some profits off the table, while still giving yourself the ability to still capture big moves.

Again, be sure that you practice doing this in a demo account first.

Also backtest your method of taking partial profits to be sure that it actually gives you an edge.

To learn how to backtest, read this tutorial.

 



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