MetaTrader 4 vs. MetaTrader 5: Which Platform Is Best for Forex?
Your trading strategy might be impacted significantly by the platform you select. MT4 and MT5 are two of the most sought-after trading platforms but differ in functionality. This article compares MT4 vs. MT5 and outlines their most important aspects, advantages, and downsides to help you make a choice that aligns well with your trading style.
What is MetaTrader 4 (MT4)?
MetaTrader 4 (MT4) is a widely used forex trading platform launched by MetaQuotes in 2005. It is known for its user-friendly interface, advanced charting tools, and support for automated trading (Expert Advisors—EAs). MT4 is primarily designed for forex and CFD trading and remains a favorite among retail traders due to its simplicity and reliability.
Key Features of MT4:
- Supports forex, CFDs, and futures (limited assets)
- Advanced technical analysis with 30+ built-in indicators
- Algorithmic trading via Expert Advisors (EAs)
- One-click trading and customizable charts
- Mobile & desktop compatibility
What is MetaTrader 5 (MT5)?
MetaTrader 5 (MT5) is the next-generation trading platform released in 2010 as an upgrade to MT4. While MT5 retains many features of its predecessor, it offers enhanced functionality including support for Forex, Stocks, Futures, and more timeframes and technical indicators.
Key Features of MT5:
- Supports forex, stocks, and futures
- Comes with 21 timeframes and 80+ technical indicators and analytical tools
- Built-in economic calendar & market depth
- Four order execution modes are available to meet trading objectives of different traders
- Trading signals and Copy Trading features
- Compatible with Android or iOS, as well as Windows, Mac, Linux
MetaTrader 4 vs MetaTrader 5: Feature Comparison
| Feature | MetaTrader 4 (MT4) | MetaTrader 5 (MT5) |
|---|---|---|
| Asset Classes | Forex, CFDs | Forex, Stocks, Futures |
| Order Types | Market, Pending, Stop Loss | Market, Pending, Stop Loss, Trailing Stop |
| Execution Mode | Instant & Market Execution | Instant, Market, Request, Exchange |
| Hedging | Yes | Yes (depends on broker) |
| Technical Indicators | 30+ | 80+ |
| Timeframes | 9 | 21 |
| Algorithmic Trading | Expert Advisors (EAs) | EAs + Strategy Tester |
| Economic Calendar | No | Yes |
| Backtesting Speed | Slower | Faster (Multi-threaded) |
Pros & Cons of MT4 and MT5
MetaTrader 4 (MT4) Pros & Cons
| Pros | Cons |
|---|---|
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MetaTrader 5 (MT5) Pros & Cons
| Pros | Cons |
|---|---|
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Which One Should You Choose?
Choose MT4 if:
- You trade only forex & CFDs
- You prefer a simple, proven platform
- You rely on existing EAs & scripts
Choose MT5 if:
- You trade multiple asset classes (stocks, crypto, etc.)
- You need advanced tools & faster execution
- You want better backtesting & strategy development
Other Popular Trading Platforms
- cTrader – A powerful alternative with Level II pricing and advanced order execution.
- NinjaTrader – Popular for futures & forex, with advanced charting & analytics.
- TradingView – Web-based platform with social trading & superior charting tools.
- ThinkorSwim (TD Ameritrade) – Great for stocks, options, and technical analysis.
Final Verdict
While MT4 remains the go-to for forex traders, MT5 offers more versatility for those trading multiple markets. If you're a forex-focused trader, MT4 is still a solid choice. However, if you want more assets and advanced features, MT5 is the better option.
At MH Markets, we support both MT4 & MT5, ensuring traders have access to the best tools.
Which platform do you prefer? Let us know in the comments!
