MetaTrader 4 and MetaTrader 5 are both developed by MetaQuotes, and both remain widely available through forex brokers worldwide. Despite the naming, MT5 is not simply an "upgrade" of MT4 — it is a different platform built from a different codebase with a broader scope. MT4 was designed specifically for forex trading, while MT5 was built as a multi-asset platform capable of handling forex, stocks, futures, and options.
This leads to the most common question new traders ask: should I use MT4 or MT5? This lesson provides a direct, feature-by-feature comparison so you can make an informed decision based on your actual trading needs.
Feature-by-Feature Comparison
The following table provides a comprehensive MT5 vs MT4 comparison across the features that matter most to forex traders:
| Feature | MetaTrader 4 | MetaTrader 5 |
|---|---|---|
| Release Year | 2005 | 2010 |
| Primary Focus | Forex | Multi-asset (forex, stocks, futures, options) |
| Timeframes | 9 (M1, M5, M15, M30, H1, H4, D1, W1, MN) | 21 (adds M2, M3, M4, M6, M10, M12, M20, H2, H3, H6, H8, H12) |
| Order Types | 4 pending (Buy Limit, Sell Limit, Buy Stop, Sell Stop) | 6 pending (adds Buy Stop Limit, Sell Stop Limit) |
| Hedging | Yes (native) | Yes (added in 2016, also supports netting) |
| Depth of Market (DOM) | Not available | Built-in DOM window |
| Economic Calendar | Not built in | Built-in calendar with filters |
| Technical Indicators (built-in) | 30 | 38 |
| Graphical Objects | 31 | 44 |
| Programming Language | MQL4 | MQL5 |
| Strategy Tester | Single-threaded, limited modeling | Multi-threaded, real tick data, forward testing |
| 64-bit Support | No | Yes |
| Maximum Charts Open | 100 | Unlimited |
| Exchange Trading | No | Yes (centralized exchange support) |
| Community & EAs Available | Massive (20+ years of development) | Growing (smaller but expanding) |
| Broker Availability | Very widely supported | Increasingly supported; some brokers offer only MT5 |
Where MT5 Is Clearly Better
Strategy Tester. This is arguably the single largest advantage MT5 holds. The MT5 Strategy Tester supports multi-threaded processing (dramatically faster optimization), real tick data backtesting, built-in forward testing, and visual mode with speed controls. MT4's Strategy Tester is single-threaded, slower, and lacks real tick modeling.
Timeframes. MT5 offers 21 timeframes compared to MT4's 9. If your strategy relies on non-standard timeframes like H2, H8, or M10, MT5 is the only option without workarounds.
Pending order types. MT5's Buy Stop Limit and Sell Stop Limit orders combine the logic of stop and limit orders, providing more precise entry mechanisms that are unavailable in MT4.
Depth of Market. MT5 includes a native DOM window showing real-time bid and ask depth. This is particularly useful for traders who want to see liquidity beyond the best bid/ask, and it is essential for exchange-traded instruments.
Economic calendar. MT5 has a built-in economic calendar with filtering by country, impact level, and date range, eliminating the need to switch to a browser for news scheduling.
Where MT4 Still Holds Its Ground
Community ecosystem. MT4 has been available since 2005, and over two decades the community has produced an enormous library of free and paid indicators, EAs, and scripts. While MT5's library is growing, MT4's ecosystem is substantially larger, particularly for niche or specialized tools.
Simplicity. MT4 has fewer features, which for many beginners is an advantage. The interface is more straightforward, and the learning curve is gentler. If you are trading forex only and do not need advanced features, MT4 does everything necessary without the complexity.
Broker support. While this is shifting, some brokers still offer MT4 only, or offer better conditions (tighter spreads, more instruments) on their MT4 platform. Always check your specific broker's platform offerings.
When to Choose MT5
Choose MT5 if any of these apply to your situation:
- You want to trade stocks, futures, or options in addition to forex.
- Backtesting quality is important to your workflow — MT5's Strategy Tester is categorically superior.
- You need non-standard timeframes like H2, H8, or M10.
- You want a built-in economic calendar and Depth of Market.
- Your broker offers MT5 with the same or better conditions than MT4.
- You are starting fresh with no existing MT4 custom tools to migrate.
When to Stick with MT4
Choose MT4 if any of these apply:
- You have an existing library of MQL4 indicators and EAs that you depend on and cannot easily recreate.
- Your broker offers better trading conditions on MT4.
- You trade forex only and do not need multi-asset capabilities.
- You prefer a simpler interface and are not interested in advanced features.
Migration Considerations
If you are considering switching from MT4 to MT5, keep these points in mind:
- Custom tools do not transfer. MQL4 indicators and EAs must be rewritten in MQL5 or replaced with MQL5 equivalents.
- Chart templates do not transfer. You will need to recreate your chart setups.
- Both can run simultaneously. There is no need to uninstall MT4 when installing MT5. Many traders run both platforms during a transition period.
- Broker accounts are separate. An MT4 trading account cannot be used on MT5 and vice versa. You will need to open a new account with your broker for the other platform.
Key Takeaways
- MT5 is not a direct upgrade of MT4 — they are distinct platforms with different architectures and capabilities.
- MT5 excels in backtesting, timeframe variety, order types, and multi-asset support.
- MT4 excels in community ecosystem size, simplicity, and broad legacy broker support.
- MQL4 and MQL5 are not compatible — custom tools must be rewritten to switch platforms.
- Choose based on your actual needs, not on which version number is higher.
- MetaQuotes has shifted focus to MT5, making it the more future-proof choice for new traders.
- You can run both platforms simultaneously during a transition period to evaluate the differences firsthand.
This lesson is for educational purposes only. It does not constitute financial advice.