MT4 vs MT5: Which to Choose for Overseas FX and Does It Affect Cashback?
Not sure how MT4 and MT5 differ, or which to pick for overseas FX?
In short, either is usually enough for discretionary trading, so the practical way to choose is by your existing EAs and how deeply you want to test. Cashback is decided by trading lots, not by the platform.
This article compares the two in general terms. By the end, you will know how to choose one that fits your trading style.
In short: choose between MT4 and MT5 by your purpose
- MT5 has more timeframes, order types and testing features than MT4
- EAs and indicators are not compatible between MQL4 and MQL5 and cannot be used as they are
- If you use existing MT4 EAs, choose an account that supports MT4
- Cashback does not change with the platform; it is decided by trading lots
Comparing the main differences between MT4 and MT5
MT5 was developed as the successor to MT4. However, MT5 is not simply a superset of MT4.
| Item | MT4 | MT5 |
|---|---|---|
| Timeframes | 9 | 21 |
| Pending order types | 4 | 6 |
| Technical indicators | 30 | 38 |
| Strategy tester | Single-threaded | Multi-threaded, supports multiple currencies |
| EA language | MQL4 | MQL5 |
MT5 is also designed to cover a wider range of markets and instruments. However, the instruments you can actually trade at an overseas FX broker depend on what each broker offers.
Compatibility of EAs and indicators
MT4 EAs are written in MQL4 and MT5 EAs in MQL5, which are different languages. For that reason, you cannot move an MT4 EA to MT5 as it is.
- MT4 EAs and indicators do not run on MT5
- To use one on MT5, you need to rewrite it in MQL5 or obtain an MT5 version
- Rewriting can change behavior, so re-testing on a demo account is essential
- For EAs that are sold or distributed, check the supported platform beforehand
If you already run an EA on MT4, it is also realistic not to switch for the sake of it. More and more people assume MT5 when building a new EA.
Differences in operation, testing and position handling
The MT5 strategy tester supports multi-currency testing and multi-core processing. For people who test EAs repeatedly, this saves time.
Position handling also differs: MT5 has netting and hedging account modes. Whether you can hold opposite positions depends on the account mode and the broker's terms.
| Trading style | Rule of thumb |
|---|---|
| Trade discretionarily by watching charts | Use whichever you are used to. If you use many timeframes, MT5 |
| Run MT4 EAs | MT4. Moving to MT5 requires rewriting and re-testing |
| Develop and test new EAs | MT5. Multi-currency testing and more are available |
| Trade mainly on a smartphone | Either is fine. Choose the screen that is easier to use |
How cashback relates to the platform
Cashback is calculated from the trading volume (lots) executed. Whether you trade on MT4 or MT5, the way of thinking is the same if the lots are the same.
One thing to note is that the platforms available differ by broker. Support may also differ by account type, so check each broker's page.
Load your MT4 or MT5 trade history and total the lots you actually traded.
Total lots from your trade historyFAQ
Q.What is the difference between MT4 and MT5?
MT5 has more timeframes and order types, and stronger testing features. On the other hand, the EA language differs between MQL4 and MQL5, and they are not compatible.
Q.Can I use an MT4 EA on MT5 as it is?
No. MQL4 and MQL5 are different languages, so you need to rewrite it for MT5 or obtain an MT5 version. After moving, re-test its behavior on a demo account.
Q.Does the cashback amount differ between MT4 and MT5?
It does not change with the platform; it is decided by trading lots and account type. XB cashback amounts are not yet confirmed, and we will post them on each broker's page at launch.
Q.Do overseas FX brokers support both MT4 and MT5?
It differs by broker and account type. Support can change, so check each broker's page before opening an account.
Sources
- MetaQuotes MetaTrader 5 official | MT4 vs MT5 comparison (checked 2026-10-23)
This article is for information purposes only and is not investment advice. Conditions may change, so please check each broker's official page for the latest information. Offshore FX and CFD trading carries a risk of losses exceeding your principal.
