Mike RamosMetaTrader 4 and MetaTrader5 are the trading platforms by MetaQuotes company. It is a software company that introduced MetaTrader4 in 2005 and MetaTrader5 in 2010.
The company is a reputed supplier of reliable modern software solutions in financial markets. The most successful software of the company is MT4 and MT5. These are highly used by financial traders for market predictions.
But very few are able to differentiate between them. Therefore, we’ll be discussing the major differences between MetaTrader4 and MetaTrader5.
What is MetaTrader4 (MT4)?
MetaTrader4 or MT4 is an electronic trading system. It is widely used by online traders. The software is licensed to foreign exchange brokers providing the software to their clients. The License name of the platform is Metaquotes Software Corp. and it operates on Windows, Android and iOS systems.
What is MetaTrader5 (MT5)?
MetaTrader5 or MT5 is a web based trading platform. It was designed to support forex and stock traders to automate their trades using the trading robots, signals and fundamental analysis.
The key features of the trading platform are web trading, algorithmic trading, mobile trading and professional technical analysis tools.
Difference Between MetaTrader4 and MetaTarder5
MetaTrader4 and MetaTrader5 belong to the financial markets. However, the use of the platforms is different. MT4 is the basic trading platform of the MetaQuotes which was developed to support traders in easy trading.
But MetaTrader5 was developed with the thought process of supporting the advanced needs of traders. Here, we have the differences that make the two different from each other:
| Features | MetaTrader4 | MetaTrader5 |
| Technical Indicators | 30 | 38 |
| Markets | Forex and CFDs | Forex, Stock, Futures, CFDs, Bonds, etc |
| Graphical Objects | 31 | 44 |
| Time Frames | 8 | 21 |
| Economic Calendar | Not available | Available |
| Embedded MQL5. Community Chart | Not available | Available |
| Strategy Tester | Single Thread | Multi threaded, Multi currency and Real ticks |
| Hedging | Available | Available |
| Pending Order Types | 4 | 6 |
| Order Fill Policy | Fill or Kill | Fill or Kill, Immediate or Cancel, Return |
| Partial Order Fill Policy | No | Yes |
| Available with no attachments | Available with attachments | |
| Fund Transfer Between Accounts | No | Yes |
| Depth of Market | No | Yes |
| Netting | No | Yes |
| Programming Language | MQL4 | MQL5 |
| Exchange Trading | Not available | Available |
MetaTrader4 or MetaTrader5: Which one is better to trade?
Many times traders are confused which one should they choose of MetaTrader4 and MetaTrader5. As per the research and knowledge we think that MetaTrader5 is a better choice considering the market advancements. However, it is not always the best.
Traders have to check with the market, their instrument of trade and what are the conditions that would suit their trade. Based on these factors traders can know the right trading platform.
MetaTradert is built to support the advanced trading needs with algorithmic trading and automated trading. MetaTrader4 is working on basic grounds using simple charts, tools and analysis systems.
MT4 is limited to forex and CFDs but with MT5 traders can trade in various market types. But if a trader wants to keep it simple then MT4 is their choice. It is simple to use and understand.
So, both have their advantages and disadvantages, choose wisely the best one supporting your trade.
Pros and Cons of MetaTrader4 and MetaTrader5
MetaTrader4
| Pros | Cons |
| Perfect for beginners | Less trading option |
| Simple to use | Slower in comparison to MT5 |
| Best platform for forex trading | |
| User-friendly |
MetaTrader5
| Pros | Cons |
| Allows trading in various assets | Complex for beginners |
| Has more charting tools, time frames and indicators | Useful for professionals and for few robots and expert advisor developers |
| Uses fundamental analysis as well | |
| Advanced software | |
| Algorithmic and automated trading allowed |
Conclusion
MetaTrader4 and MetaTrader5 are very useful trading platforms. Traders can analyse the major differences between them and choose the one that is suitable for their trading at the time.
Both are good at their place and useful for trading purposes. The article gives the basic and even advanced difference of MT4 and MT5 and how traders can easily understand them for better trading.
Besides, traders can also know the pros and cons and which one is better for trading online.
