For many online traders, MetaTrader is the first and last word in trading software. Developed by MetaQuotes Software Corp., these platforms became the industry standard for trading foreign exchange, also known as forex. The journey began with MetaTrader 4, or MT4, released back in 2005. It quickly became popular because it gave regular people access to tools that were once only for professional traders.

A few years later, in 2010, MetaQuotes released MetaTrader 5 (MT5). While the name suggests it's a simple upgrade, it's more of a powerful successor built with a different goal in mind. Both platforms provide the essential tools for trading: real-time price charts, analytical tools, and the ability to place orders.

The main draw of the MetaTrader platforms is their blend of powerful features and a user-friendly interface. They present complex financial data in a way that’s relatively easy to understand, with customizable charts and a host of built-in technical indicators to analyze market trends.

But the standout feature is automated trading through Expert Advisors (EAs). An EA is a program you can install on the platform to automatically manage your trades. You set the rules, and the EA follows them, executing trades on your behalf 24 hours a day. This is made possible by a built-in programming language called MetaQuotes Language (MQL).

Both MT4 and MT5 are available across a wide range of devices. You can use the full-featured desktop application on Windows, macOS, and Linux. For trading on the go, there are also mobile versions for both iOS and Android, ensuring you can monitor your positions from anywhere.

Choosing between MT4 and MT5 isn't as simple as picking the newer version. They were built for slightly different purposes. MT4 was designed specifically for decentralized markets like forex. MT5, on the other hand, was built to connect to centralized trading exchanges, giving it access to other instruments like stocks, options, and futures.

This difference in purpose leads to other distinctions, from the programming language used for EAs to the number of analytical tools available. Here’s a quick comparison:

The programming language is a key differentiator. MQL5 is more advanced than MQL4, offering more flexibility and better performance for testing trading strategies. This makes MT5 a more powerful platform, especially for traders who want to build complex EAs or trade a wider variety of assets.

Ultimately, both platforms are excellent tools. MT4 remains incredibly popular due to its simplicity and the vast number of EAs and custom indicators already built for it. MT5 offers more features and access to more markets, making it a more future-proof choice for the versatile trader.