The difference between Metatrader 5 and Metatrader 4

The difference between Metatrader 5 and Metatrader 4 Features and main differences of terminals

Trading platforms developed by MetaQuotes Software Corp. have long gained popularity among traders from around the world. The most famous products are MetaTrader 4 and MetaTrader 5. Many mistakenly believe that MetaTrader 5 is an updated version of the previous platform, but there is a significant difference in the terminals: MT4 is designed for trading on the foreign exchange market, MT5 is a universal product that works with both currency and and with the stock exchange. Different possibilities of use entail other differences between MetaTrader 5 and MetaTrader 4.

Development language

The first difference between the two programs is the programming language in which they are written. For MT4, MQL4 was used, for MT5 - MQL5, incompatible with each other. MetaTrader 5 has enhanced object-oriented logic and a developed test system for checking the advisors' performance on historical data, as well as advanced analytical tools.
Interface

Despite the completely different programming languages, the developers at the release of MT5 retained the familiar design of the working window. In the new version, a glass of prices has been added, allowing you to follow the current data on quotes and transaction volumes.
Timeframes

MetaTrader 4 has only nine timeframe options - four minute, two hourly, day, week, and month. There are already 21 of them in the updated version. The range of minute and hourly charts has been significantly expanded. You can choose the appropriate one in the “Charts” menu section.
Analytics

Both platforms are equipped with numerous tools for technical analysis, but in MT5 there are more of them. For example, 38 built-in indicators against 30 in MT4. Added the ability to wave analysis using Elliott waves. Charts are presented in the same forms - Japanese candles, bar and linear. The number of used simultaneously reaches one hundred. If necessary, additional indicators can be obtained from the Library.

The updated MetaEditor editor does not require in-depth programming knowledge and allows you to create expert advisors and indicators on your own, and Strategy Tester - pre-test them using historical examples using different assets. An additional difference is the ability to overlay indicators for a smoother picture.

The obvious disadvantages include the incompatibility of advisers developed for MT4 with the new version of the platform. MT5 includes opportunities for fundamental analysis - an economic calendar and news feed, which displays significant events in the financial world in real time. In the previous version, updated data should be monitored in separate sources.

Order Opportunities

MetaTrader 4 uses four options for pending orders, there are six of them in the updated platform, which allows you to create a more flexible trading system. The new Buy Stop Limit and Sell Stop Limit set an additional mark on the performance of familiar operations. Setting the first gives an order to execute Buy Limit at a price lower than that indicated in the pending order. The second launches Sell Limit, provided that the market price is higher than the set price. Partial execution of an order is permissible.

A common complaint about MetaTrader 5 was the lack of hedging. The situation was fixed after the release of updates. But the possibility of opening an order without locking remained.

Mouse stop loss and take profit control was initially used only in MT5. But the new MT4 modification received a similar ability. This greatly simplifies the change in the corresponding levels - just drag and drop with the mouse.

In MetaTrader 5 there is the possibility of a one-click transaction directly from the trading chart.

Copy trading

The copy function of the best traders' operations is available in the fifth version through the Trade Alerts service. To do this, an analysis of the results of the auction and subscription is made. It can be either paid or not. Above average, the user is likely to become an object of subscriptions.
Trading Instruments

MetaTrader 4 is designed to trade exclusively in the foreign exchange markets. MetaTrader 5 is a multi-market platform. Both currency and stock markets with securities transactions are available with it. At the same time, you can work on several exchanges.

Server software

MT4 has one dedicated server, limited in connection with other servers. There are four of them in MT5 - access, trade, history and backup. This undoubtedly speeds up the process.
Reporting

To analyze your own program results, it is possible to display reports on operations performed. In the fourth version, they are available exclusively in tabular form; in the fifth, graphics are additionally used. You can evaluate five indicators: the number of transactions, expectation of profit, average profit, loss and profit factor.

MetaTrader Market

A special store has appeared in MetaTrader 5 where you can purchase various robots, applications for trading and literature related to trading. Additional products do not require separate installation, but are activated immediately after purchase.
Alerts

For a timely response to market events, MT5 provides special sound signals - alerts. You can configure their duplication to the phone or e-mail. The melody of your choice is standard or your own.

Smartphone Versions

Trading terminals have mobile counterparts with functionality that practically does not differ from the original complete package for a computer. The ability to trade without reference to a specific place is very convenient. Such applications are designed for the two most common operating systems - Android and iOS.

What to stop on - MetaTrader 4 or 5 - is hard to decide right away. It is better to focus on personal preferences, although more and more brokers make their choice in favor of MT5, leaving no alternative. Due to its versatility, the possibility of numerous additions and the use of various trading instruments, the program is quite capable of ousting its predecessor from the market.

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