MetaTrader is the platform most forex brokers give their clients, and it comes in two versions: MT4 and MT5. Beginners often ask which one to choose. The short answer: for most new traders MT5, but there are good reasons to stay with MT4.
What are MT4 and MT5?
MetaTrader 4 (MT4, released in 2005) and MetaTrader 5 (MT5, released in 2010) are trading platforms made by MetaQuotes. Brokers license them and give them to clients free of charge for Windows, Mac, web browsers and mobile. You use them to read charts, place orders and run automated strategies called Expert Advisors (EAs).
MT4 vs MT5 at a glance
| Feature | MT4 | MT5 |
|---|---|---|
| Released | 2005 | 2010 |
| Timeframes | 9 | 21 |
| Built-in indicators | 30 | 38 |
| Pending order types | 4 | 6 (adds Buy Stop Limit and Sell Stop Limit) |
| Economic calendar in the platform | No | Yes |
| Depth of market | No | Yes |
| Programming language | MQL4 | MQL5 (not compatible with MQL4) |
| Strategy tester | One currency pair at a time | Several pairs, multi-threaded, real tick data |
| Position accounting | Hedging | Hedging or netting |
Both platforms offer a free demo, one-click trading, mobile apps and thousands of custom indicators.
Differences that matter to a beginner
Timeframes and indicators
MT5 adds extra timeframes such as M2, H2 or H3: useful, but not essential. Classic indicators like moving averages, RSI and Bollinger Bands are available on both; see our guide to indicator-based strategies.
Expert Advisors and custom indicators
This is the biggest practical difference. An EA or indicator written for MT4 (MQL4) does not run on MT5, and the reverse is also true. If you rely on a specific tool, check which version it is made for before you choose.
Strategy testing
The MT5 strategy tester can test several currency pairs at once and use real tick data, which makes backtests more realistic, for example when you test a moving average crossover strategy.
Hedging and netting
MT4 lets you hold a buy and a sell position on the same pair at the same time (hedging). MT5 supports hedging accounts as well as netting accounts, where opposite trades offset each other. Forex brokers usually open MT5 accounts in hedging mode; check this if it matters to your strategy.
Which one should you choose?
| Choose MT5 if… | Choose MT4 if… |
|---|---|
| You are new and have no tools tied to MT4 | You already use an EA or indicator written only for MT4 |
| You want more timeframes, the built-in economic calendar and better backtesting | Your broker offers the account type you want only on MT4 |
| Your broker offers its newer accounts only on MT5 | You follow a course whose tools are built for MT4 |
Note that a trading account is created for one platform: an MT4 account cannot log in to MT5. If you want to switch, you can open a second account at the same broker. MetaQuotes has been encouraging brokers to move to MT5, and many newer brokers launch with MT5 only.
How to start
- Open a free demo account on the platform you chose and spend a week learning orders, charts and indicators.
- Check which platforms each broker offers for the account type you want; our broker comparison and 5-step checklist help.
- Move to a cent account on the same platform before trading larger amounts.
- Check the account’s costs (spread, commission and swaps) with our guide to forex trading costs.
Frequently asked questions
Is MT5 better than MT4?
Technically yes: more timeframes, more order types and a stronger tester. For a beginner trading manually both are fine, and MT5 is the more future-proof choice.
Are MT4 and MT5 free?
Yes. The broker pays for the licence; you download the platform for free and only need an account, demo or live.
Can I use my MT4 EA on MT5?
Not directly. MQL4 and MQL5 are different languages, so the EA has to be rewritten or you need an MT5 version from its developer.
Forex and CFD trading on margin is high-risk and most retail traders lose money. Nothing in this guide is financial advice.
If you want to see what to compare in a broker once you have chosen a platform, JFRebate covers MT4 and MT5 brokers and how to check them.