Choosing between MetaTrader 4 and MetaTrader 5 is a frequent conundrum for retail traders, particularly those who are new to the market. While both are built by MetaQuotes, they differ in numerous ways, making them suitable for different types of traders.
Fortunately, a large number of brokerages offer both MT4 and MT5 download links, so if you’re having trouble deciding, here are four significant distinctions between the systems. Whichever option you choose, keep in mind that both are utilized by millions of traders worldwide, and hence both can be trusted.
The bulk of traders examine prices in order to have a better grasp of the fluctuations in order flow. As a result, charts are critical, and here is where the platforms diverge. More precisely, MT4 allows for the use of nine timeframes, whereas MT5 allows for the use of twenty-one.
You may be trading commodities or stocks, which are both quite very active and volatile at the moment, and so the ability to evaluate price activity over several timeframes is critical. According to experts, MetaTrader 4 is a better option for novices who prefer to keep things simple in the beginning. Once they’ve gained experience trading, they can upgrade to MT5.
MQL4 and MQL5 are both a subset of MQL4.
Expert Advisors are available on both platforms. Essentially, traders may create software and algorithms to aid them in their trading. Numerous EAs, some of which are offered for free, discuss order placing, market information, and other topics.
However, MQL4 is the programming language used in MT4, but MQL5 is the programming language used in MT5. Despite the name similarity, they are two very separate languages, and an EA developed in MQL4 cannot be exported for usage on MT5. This is a common criticism among traders who have been regularly trading with EAs for years.
Technical analysis characteristics
The markets are gloomy owing to the Russia-Ukraine conflict, increasing inflation, and societal instability. Traders depend even more on technical analysis at these times. It is vital to have access to a variety of tools, and both platforms are densely packed with indications.
MT4 is pre-installed with 30 indications, over 2,000 free customer indicators, and over 700 premium indicators. When using MT5, you may utilize an unlimited number of charts with up to 38 technical indicators and 44 analytical elements.
Although MT5 adds value, many traders continue to use MT4 out of habit. Those with higher expectations and a continual need to upgrade their methods, on the other hand, may find the new analytical indicators introduced into MT5 to be more suitable.
Other distinctions include the fact that MT5 provides access to the Depth of Market (DOM), which displays bids and offers for financial assets at various prices based on volume. Additionally, you may benefit from an economic calendar and market headlines.
Traders may discover beneficial features like as netting, a multi-threaded strategy tester, fund transfer across accounts, and an incorporated MQL5 community chat. Finally, whatever platform is the best choice comes down to personal preference.