APIs and What Are They Good For

by Forexware Team

Tue May 9, 2017

I often get questions from our clients regarding the API and the benefits it can bring to their business. An API (Application Programming Interface) is basically a set of rules that is needed to communicate with a specific system.  Most major technology companies, from Amazon to Zillow, use APIs to enable their internal and external systems to communicate with each other. Think of an API as a human language, such as Chinese or English, where each speaker needs a specific  set of rules and vocabulary to communicate.  In Margin FX, we use two main languages or APIs, one for MT4 (Meta Trader 4) and another for FIX (Financial Information eXchange).  MT4’s API allows a program to push and pull data from the server, such as account and trade information, prices, server settings, etc. The FIX protocol allows financial institutions to trade with each other and it’s the standard across financial markets.  It specifies how quotes and trade executions are communicated to the prospective party.  To put it in perspective, an MT4 bridge gives MT4 the ability to connect to a liquidity provider via FIX to allow for STP trading. To see if your business can benefit from using APIs, contact Forexware’s experts for an assessment.