In online trading, MetaTrader has become a leading platform, offering traders a wide range of tools and features. However, with the introduction of MetaTrader 5 (MT5) as a successor to the popular MetaTrader 4 (MT4), traders now face a crucial decision: which platform should they choose? While both platforms have similarities, they also have distinct differences that can significantly impact your trading experience.
This article aims to explore MT4 and MT5, their unique features, functionalities, and advantages. By understanding these differences, you can make an informed decision on which platform best suits your trading goals and preferences.
So let’s begin the MT4 vs MT5 debate now.
What is a MetaTrader 4
MetaTrader 4 is an advanced platform for traders of all levels and backgrounds. It has been providing users with easy access to financial markets since 2005, enabling them to trade forex (it was made mainly for currency trading) as well as stocks, indices, and commodities using CFDs. The intuitive design makes it user-friendly while advanced tools allow experienced traders to implement their strategies easily. What’s more, MT4 can be customized according to individual needs.
What is a MetaTrader 5
MetaTrader 5 is a powerful multi-asset platform that gives traders the ability to trade in various financial markets, including forex, stocks, indices, and commodities. It offers greater speed and efficiency than its predecessor MT4 and comes packed with advanced features such as technical analysis tools, trading signals, and robots for algorithmic or copy trading. Whether you’re an experienced trader looking for more options or just starting out, MT5 offers all the necessary ingredients required to succeed.
Check out list of the best MT5 brokers in case you’re still looking for the best one.
What is the Difference Between MT4 and MT5?
Let’s go through the main differences between these two:
- Trading instruments
MT4 was explicitly developed for forex traders, while MT5 has a much wider range of applications such as CFD trading, stock markets, and futures. For justice, we should note that event MT4 was designed for forex, you can trade other instruments as well.
- Programming language
Traders can utilize specific programming languages on different platforms to customize their trading experience according to their requirements. MT4 is favored for its user-friendly installation and quick setup, while MT5 provides a more intricate language but also offers additional features such as script customization. In MT5, executing trades can be achieved using a single function, which distinguishes it from MT4.
- Order types number
MT4 provides traders with 4 order types: buy stop, buy limit, sell stop, and sell limit. These order types enable traders to minimize risk and exercise greater control over their entry and exit points in a trade. In contrast, MT5 introduces 2 additional order types: buy stop-limit and sell stop-limit. It enhances traders’ flexibility by allowing them to respond to price movements in a more nuanced manner when it comes to buying or selling.
- Economic calendar
MT4 doesn’t have a built-in economic calendar, but traders can easily use other calendars to stay updated on financial news. On the other hand, MT5 has an integrated economic calendar with real-time information and useful data to help traders plan their trading strategies better.
Can you trade in MT4 and MT5 without a broker?
Trading without a broker is not an option – MT4 and MT5 are simply platforms that provide the tools necessary to make trades. To get started, you’ll need to open an account with a broker first. Check the MT4 broker Exness as an example of a reliable one.
Can you use both MT4 and MT5?
There is no problem to trade on both platforms. If your broker supports it, you can do it easily, but keep in mind that a separate account is required for each platform. Take advantage of all the features MT4 and MT5 offer to get more success with your trades.
