In today’s world, where technology takes over, there is nothing you can do in the Forex world without a proper trading platform. There are numerous types of these platforms but not many seem to work or be the mass favorite. If you have been in the Forex trading world you should have heard about MetaQuotes trading platforms: MetaTrader 4 and MetaTrader 5. One of the biggest dilemmas that arise when starting out as a novice trader is which one of the platforms to choose and what’s the big difference between them.
The answer is not as simple as you might think. It all depends on your preference or the markets you want to operate on. One of the biggest differences between MetaTrader 4 (MT4) and MetaTrader 5 (MT5) is the markets they usually operate in. MT4 was designed mainly for Forex while MT5 has introduced a broader variety of markets such as stocks, CFD, futures trading and Forex itself. The platform is also compatible with different Expert Advisors, if you are looking for more information on different types of MT5 EAs, here you can find additional information about the topic. If you are looking to just trade in the Forex market you would be better off with MT4 due to the more intricate analysis it provides for that field. But if you are looking to manage and operate in different markets MT5 is the way to go.
Another factor that should be considered while choosing the trading platform is your experience level. MT4 has a simple, more beginner-friendly design and serves as the main platform for novice traders. If you simply need the necessary technical indicators and none of the complicated and advanced features, you are good with MT4 but if you want something more complex, MT5 is the right choice for you. MetaTrader 5 offers 21 different time frames which already creates a huge dichotomy between it and MT4.
It is important to note that even though both MT5 and MT4 are made by the same company, they have been designed while using different programming languages. If you are not interested in creating your own algorithms or writing the altered scripts and just want a simple trading platform MetaTrader4 suits right in, while MT5 has a more complex programming language(MQL5).
In the end, as you could see there’s a trend going on whilst comparing these two incredible platforms. To sum up, all of the information provided above, use MetaTrader 4 if you just want to trade in Forex or want a simpler platform. Use MetaTrader 5 if you have more experience or have different types of assets that you want to manage in one place or you are looking for a platform that enables you to write your own algorithms and utilize complex analysis tools.