MT4 vs MT5: The differences between trading platforms

depth of market

As it has all the features that either a novice or an expert needs to trade successfully. MT4 has Forex, Futures, and CFD as the only supported markets, whereas the MT5 has Options, Stocks, and Bonds as additional markets. Additional markets give traders convenience of trading from the same platform and same broker. Unlike MT4, if a trader had to trade Options or Bonds, he would need to trade from another different platform or probably with another different broker. Graphical objects are a set of tools that help in the analysis of prices.

sell limit

That’s why MT5 is a preferred choice for more experienced and institutional traders. The database that would host MT4 platform was only restricted to accept 10 million trades. However, as the popularity of forex trading has grown overtime there was the need to develop a platform that would allow more trades. This literally means even if all the forex traders would place 100 trades the database wouldn’t go down because of the number of trades. The operating system that is supported by these two different forex trading platforms is not the same.

Expert Advisors, also known as EAs or trading bots, play a critical role in any automated trading strategy and custom indicators. MetaQuotes offers an extensive marketplace of vetted EAs for purchase, but users can also purchase or code their own to meet the specific needs of a given trading strategy. With 21 timeframes, 44 graphical objects and 38 technical indicators, MetaTrader 5 offers a truly dizzying array of advanced charting possibilities. The developer remains tight-lipped about just how many forex traders use a version of either platform but did share that MT4 claims over 16 million users. MT5, on the other hand, recently became more popular with brokerages.

MT4 vs MT5: Understanding the Differences to Choose the Best Trading Platform (

Because there are many traders who use tools like ‘Market Profile’, ‘Delta Volume’, and other tools (i.e., real POC/ VWAP/ Profile levels). Yes, many Forex brokers offer Forex trading through the MT5 trading platform. No, but many brokers offering the MetaTrader 4 trading platform also offer the MetaTrader 5 trading platform and will allow you to switch. The upgrades provided by MT5 were insufficient to convince traders to convert MQL4 indicators and Experts to MQL5. The benefits of MT5 are insufficient to entice traders to switch from their current terminal. MT4 supports three order execution kinds, while MT5 supports four.

Opening your trading account and wondering which of these popular platforms best fits your trading strategy? In this article, we’ll compare the key features of MetaTrader 4 and MetaTrader 5 to help you identify the platform to take your trading to the next level. MT5 has more charting tools, technical indicators, and timeframes than MT4.

Another difference between these two trading platforms is the programming language used. The main difference is that MQL5 is generally regarded as easier to program as it allows “black box” programming. This means it provides a better framework for making and using trading robots and forex EAs.

Comparing MT4 and MT5, what common characteristics do both platforms share?

If you open an order on your computer, you can easily manage it from your tablet via the mobile version for Android/iOS devices. The main point with the browser and the mobile platform is that you are time and place independent. You are always able to check the account or opt to close an order at any time, and from any device that is connected to the Internet. It should be noted that there is no compatibility with previous versions, and Metatrader 4 applications cannot run on Metatrader 5.


In this article we will show you the main differences between MT4 vs MT5. MetaTrader 4 no longer offers customer-side technical support for the MT4 platform. For now, users can turn to an active community of MT4 aficionados for technical help.

MT4 vs MT5: MetaTrader Platform Versions Compared. Which One Is Better?

Both platforms include an alert functionality and provide traders with ongoing financial news. MT5 has faster backtesting as compared to MT4, which allows traders to see how well an investment/trading strategy would have performed considering the actual results through historical data. The programming language for MT5 is different vs the one used on MT4. This means that the applications for MT4 aren’t compatible with MT5 and vice versa. Therefore traders who use EAs will have to rewrite them in order to be able to use them on both platforms.

Bitcoin, Ethereum, and Ripple are some of the most popular trading instruments in the world of evolving cryptos. MetaTrader 4 by MetaQuotes Software Corp has been very popular for over ten years, and you can even download it for free. Still, you need to know what the MT4 platform is and what you can use it for. Daily Forex believes that of the top brokers offering the MT4 trading platform, FXTM is the superior choice for most traders. This is not really true at all, although it is a trading platform and back testing machine just as Metatrader 4 is, and the graphical user interfaces look and feel fairly similar. Due to the fact that Metatrader 5 was released in 2010, five years after Metatrader 4, and at a time when Metatrader 4 was already extremely popular, it is not frequently employed.

This is because the file might be corrupted with a virus that can then gain access to your MT5 brokerage account. Additionally, both MT4 and MT5 support automated trading robots. Otherwise referred to as a forex EA , this allows you to trade in a 100% automated manner.

Trade on Margin

For example, FxPro uses the vault as a wallet to transfer funds while InstaForex uses the trader’s cabinet tool for funds transfer. Time and sales data provides traders with an outlook of the price levels. This change in volumes helps intraday as well as long-term traders with speculation of price movement. Time and sales data is not only visual but can also be exported to spreadsheets such as MS Excel.

  • Both platforms include an alert functionality and provide traders with ongoing financial news.
  • In a sell-stop limit order, the current price level is higher than the price of the order placed.
  • Both trading platforms provide traders who rely primarily on technical analysis with essential charting capabilities.

They consist of the buy limit, the sell limit, the buy stop, the sell stop, the buy stop limit, and the sell stop limit, two more than the amt4 platform. These pending orders are perfect for traders who are unable to constantly monitor chart movements. The pending orders can be configured to execute trades on the trader’s behalf at the specified price level, limiting the number of trades missed while away.

There are numerous indicators available in the Forex trading market and they are designed to help traders better predict the future price movements in the market. By understanding the key differences between these two trading platforms, you should be able to easily make a decision regarding which trading platform suits your needs best. While discussing the similarities and differences between MT4 and MT5, there are some key features that should be discussed. This includes things like order types, indicators, timeframes, strategies, available assets, and many others. While both MetaTrader 4 and MetaTrader 5 are very popular trading platforms around the world, there are some distinct differences between themes.

MT5 Trading Platform: What You Need to Know – The Realtime Report

MT5 Trading Platform: What You Need to Know.

Posted: Thu, 16 Mar 2023 07:00:00 GMT [source]

You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. 74% of retail investor accounts lose money when trading CFDs with this provider. However, there still are some differences between the offerings of these trading platforms. The minimum timeframe at MetaTrader 4 is 1 minute, and the highest timeframe goes up to 1 month. When comparing the MT4 vs MT5 difference, it should be noted that these two trading platforms have similar execution modes. Both MT4 and MT5 offer traders three execution modes, they are instant execution, execution on request, and execution by market.

Rollover ratesWhen you hold a currency spot position overnight, the interest you either earn or pay is the rollover amount. Each currency has a different overnight interbank interest rate, and because you trade Forex in pairs, you also deal with two different interest rates. Forex Trading Opportunities When Markets are Closed over WeekendsThe forex market can be operated 24/7 Monday to Friday. Habits of Forex TradersForex trading requires discipline, focus, and a strong understanding of market trends. We offer competitive trading spreads for all the asset classes.

In short, both versions are powerful and versatile trading platforms. While MT4 remains a popular choice among worldwide traders, MT5 offers more features and flexibility. MetaTrader 4 and MetaTrader 5 are the two most currently popular trading platforms. Both have been developed byMetaQuotesand offer a variety of features and tools. Yet, there are some significant variations between these versions to cater to traders of different levels. This article compares MT4 vs MT5 to help you determine your best trading platform.

Fears regarding what impact this could have on economic momentum has encouraged a sell-off in other risk assets, such as Oil. Overall, whether MT4 or MT5 we found Pepperstone to be the best broker for forex based on their spreads, trading environment and customer support. Easy-to-use interfaces and quick boot times have made Apple computers popular with daytraders, but ongoing compatibility issues with iOS may prove problematic even for die-hards. MetaTrader 5 boasts eight more technical indicators than MT4, including six important trend indicators and two additional oscillators. MetaTrader 4 users have access to 24 graphical objects, including lines; channels; the Gann and Fibonacci tools; and shapes and arrows. Both MT4 and MT5 are very similar in terms of design and usability.

MT4 vs MT5 Automated Trading

There are many reasons why seasoned traders prefer MT4 and MT5 over a broker’s native web trading platform. At the forefront of this is the sheer number of advanced technical indicators, chart drawing tools, and order types offered. This is highly conducive for traders that rely on technical analysis and pricing research. MT4 features 15,466 autonomous trading robots, or expert advisors , and 6,976 custom indicators. Many are free of charge, but traders should practice extreme caution. Proper upgrades cost as little as $50, which may expand to above $250, depending on the requirements of the trader.

financial markets

The Metatrader 5 trading platform is somewhat less commonly offered, although it is produced by the same company (the Cyprus-based MetaQuotes Software Corporation). To understand why this is the case, we need to take a closer look at the platform. Forex, Stocks, Commodities, Futures, Cryptocurrencies, and CFDs Trading have large potential rewards, but also involve the risk of loss. You must be aware of the risks and be willing to accept them in order to invest in the Forex, Stocks, Commodities,Futures, Cryptocurrencies, and CFDs markets.

The software recreates the behavior of trades and their reaction to a Forex trading strategy, and the resulting data can then be used to measure and optimize the effectiven… MetaQuotes Software Corp has implemented many different functions for trading Forex & CFD instruments. MT4 offers different trading and analytical technologies, and also additional services for professional traders. Algorithmic trading refers to trading with the help of automated trading systems. Back then, we could see various developers producing very special software for trading. Those were trading platforms, or the so-called trading terminals.

MetaTrader Pros & Cons – AskTraders

MetaTrader Pros & Cons.

Posted: Wed, 20 Jul 2022 07:00:00 GMT [source]

Join the ZFX Academy mailing list to be the first to know about our next webinar, article or social accountability. MT4 also stands out as it supports the management of each position separately. MT4 also works best with almost every device, given that it takes up less memory space as compared to MT5. Having to step away from the trading station can be difficult, particularly if you’re in a trade or a setup is within striking distance of its buy/sell line. Harindale Ltd provides its services to residents of the European Economic Area and it is not permitted to provide services to residents of the United Kingdom.

It also permits simultaneous backtesting of multiple currency pairs, which can significantly accelerate backtesting procedures. With this tool, traders on the MetaTrader platform can move funds across other trading accounts without exiting their trade. MT5 has 12 additional time frames than MT4, which has nine-time frames. There are seven varieties of hourly charts and eleven varieties of minute charts.

MT5 is a little more complex as it consists of more trading features and enables traders to trade the stocks and futures market as well. MT4 is comparatively simpler and easier to use, especially for forex traders. It allows traders to customize the interface of the platform as per their individual trading needs.

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