Metatrader 4 (MT4) and Metatrader 5 (MT5) are professional trading platforms developed by MetaQuotes corporation. For experienced professional traders, it’s no longer strange for both of these platforms. However, new investors who do not have much time to approach them, not everyone understands them and should choose MT4 or MT5. The following article shares the pros, cons of MT4 vs MT5 and their notable difference.
What Is MT4 and MT5?
MT4 is a trading platform that allows traders to trade on the foreign exchange market and other financial products. MetaTrader 4 is currently the most popular trading platform, allowing you to trade Forex, commodities and CFDs. When trading on MT4, you will be provided with many fundamental technical analysis tools and indicators.
Similar to MT4, MT5 is an online trading platform released by MetaQuotes. This is a new and improved version of MetaTrader 4, which offers many additional financial products, features and tools, such as new order types and other drawing tools.
Similarities between MT4 and MT5
First, let’s discuss the similarities between MT4 and MT5. Overall, this similarity is real only in the fundamental aspects: financial products, order matching, account support,…
- Full financial products support: Both platforms offer currency pairs, cryptocurrencies, stocks, commodities, energies, stocks, etc.
- Coverage: all available solutions
- Order Execution Speed: Instant and Market-Based
- Support for demo accounts: all available
- Indicators and drawing tools: all available
- Trading Robot (EA): All Available
The main differences between MT4 and MT5
Below is a list of the main differences between the MT4 and MT5 versions:
| Comparison criteria | MetaTrader 4 | MetaTrader 5 |
| Pending orders | 4 types: Buy stop, Buy limit, Sell stop, Sell limit | Selling limit 6 types: Buy stop, Buy limit, Sell stop, Sell limit, Buy stop limit, Sell stop limit |
| timing | 9 time intervals (default only) | 21 time intervals (predefined and customized) |
| Technical indicators | 30 technical indicators | 38 indicators |
| Drawing tools | 31st | 44th |
| Account Types | Standard Cent, Standard, Pro, Raw Spread and Zero | Standard, Pro, Raw Spread and Zero |
| Market depth | ✕ | ✓ |
| Programming language | MQL4 | MQL5 |
| Economic calendar | ✕ | ✓ |
| Archived orders | Orders older than 35 days will be converted to archive | Orders not archived |
Note: Although MT4 and MT5 are both Metaquotes products. However, these 2 platforms have separate systems and are not compatible with each other. If you open a MetaTrader 4 account, you will not be able to use MetaTrader 5 with your MT4 login and vice versa. If you want an account for both MT4 and MT5, you need to open a separate trading account for the two platforms.
Comparison of the pros and cons between MT4 and MT5
1. Metatrader 4 (MT4)
MT4 has some advantages and disadvantages as follows:
- Supported by over 1,200 online brokers
- Ideal for Forex traders
- Many technical indicators and charting tools are available
- The vast majority of robot suppliers and EAs choose MT4
However, MT4 has some limitations as follows:
- Fewer technical indicators than MT5
- More suitable for Forex than other asset classes
2. Metatrader 5 (MT5)
MT5 has some advantages as follows:
- More technical indicators and charting tools than MT4
- Very advanced command types and execution patterns
- More support for CFDs other than Forex
Some disadvantages of MT5 are as follows:
- Fewer indicators
- Brokers supported by MT5 are much less than MT4
- Very few robot developers and EAs choose MT5
Should I choose the MT4 or MT5 trading platform?
Metatrader 4 and Metatrader 5 are both the two most popular trading platforms, so choosing which platform to use is up to the trader himself.
MT5 was launched 5 years after MT4. And the main difference between the two platforms, MT4 and MT5, is that the newer platform supports multiple markets, not just Forex. Therefore, this will be a more flexible option for investors who wish to trade on multiple markets. In addition, MT5 also includes some features not available on MT4.
However, the reality is that the number of traders using MT5 is still dominant. Since not all improved versions are suitable to choose from, sometimes you get used to using MT4. It is more effective to trade than to upgrade.
Similarly, the number of brokers that support MT5 trading is not as much as MT4. And that’s not to say it’s not worth exploring.
So, in my opinion, based on your investment needs, whether you want to trade on the forex market or you want to experiment on other markets, you decide to choose MT4 or MT5. In addition, one more important thing than choosing a platform is the search for a reliable exchange because it greatly affects the results of investments and the security of your money.