Hello there! You have definitely heard about eToro due to its famous social investing features and its user-friendly platform. And now, you might be wondering if it supports MetaTrader5 (MT5), the latest version of the industry-leading MetaTrader trading platform, right?
In this article, you will find out if you can trade on the MT5 trading platform using your eToro account. If not, what are your alternatives? And what are the pros and cons of trading using MT5? So let’s get straight into it.
Does eToro support MT5?
Unfortunately, eToro does not support the MetaTrader5 (MT5) trading platform (or MT4 for that matter) as they have developed their own in-house trading platform.
Below you can find the comment of eToro on a question about whether they support MT4 (the same goes for MT5):
“Sadly, we do not support the MT4 platform, as this platform is not compatible with our award winning products and therefore our community of Social Investors cannot benefit.”
eToro Alternatives that support MT5
If you are looking for an online broker that does support MT5, you might want to check the below list of alternatives.
Founded in 2005, FP Markets is a regulated CFD and forex broker. It offers forex trading with tight spreads and the platform supports MetaTrader4 and MetaTrader5 trading.
Disclaimer: 75.31% of retail accounts lose money.
IC Markets is an Australian-based broker. Although it offers low spreads and a low minimum deposit of $200, you can only trade limited products on its platform as it only offers forex and CFD trading. IC Markets supports both the MT4 and MT5 trading platforms, giving you more flexibility in deciding the best option for you.
Disclaimer: 76.27% of retail accounts lose money.
Pepperstone is a CFD broker that allows you to trade CFDs in several asset classes such as forex, stocks, ETFs, cryptocurrencies, and more. Pepperstone gives you the option to choose between the MT4 or MT5 platforms.
Disclaimer: 81.12% of retail investor accounts lose money when trading CFDs.
Interactive Brokers is one of the top global discount brokers. It offers you access to an extensive range of markets where you can trade currencies, stocks, options, and many more instruments. You can use MT5 but it requires some action from your side. Please read this for further details.
MT5 Pros and Cons
- Economic calendar
- 80 built-in indicators used in technical analysis
- 21 different timeframes
- Can simultaneously display up to 100 currencies and stock quote charts
- Developed using MLQ5, you can add other trading algorithms to the platform
- Some features may appear too advanced for beginners
- The MT5 platform is more complex than the MT4 platform
- Programs developed for MT4 will not operate on MT5
What are the differences between MT4 and MT5?
MetaTrader5 (MT5) introduced many new features, including more advanced charting tools than MT4, 12 extra timeframes, an integrated economic calendar, and plenty of other new technical indicators. Although the interfaces are similar, MT5 is not designed to replace MT4. The two platforms have distinct functions and features, as well as target diverse user segments. For example, forex traders are more attracted to MT4 as it was designed to meet their demands at the time it was built. In contrast, MT5, is more commonly used in CFDs, stocks, and futures trading.
The following points represent the main differences between MT4 and MT5:
- The MT4 software is written in MQL4, whereas MT5 is written in MQL5, allowing you to create your own trading robots, technical indicators, and scripts
- MT4 users had access to full libraries of expert advisors, which are no longer available on the MT5 platform
- MT5 is more efficient and faster than MT4 since it is a multi-threaded 64-bit platform, whereas MT4 is a single-threaded 32-bit platform
- MT4 is designed only for decentralized markets, whereas MT5 solves this limitation by allowing you to trade stocks, futures, and commodities, which are asset types traded on centralized trading exchanges.
- One of the most important distinctions is the netting option added to the MT5 platform. MT5 supports both hedging and netting strategies while MT4 only supports hedging. For example, suppose you enter a long position (buy GBP/USD) and subsequently open another position in the same market. In that case, the initial order becomes one position rather than two independent positions.
There are also further technical differences between MT4 and MT5, but we won’t dive into it here.
What is eToro?
Established in 2007, eToro is a pioneer in social investing. It offers investors the ability to copy other traders and is a great platform to connect with other investors, share your investing ideas and learn. It is regulated by different top-tier regulators and offers access to extensive instruments from various asset classes such as currencies, ETFs, CFDs, cryptocurrencies and more. To know more about eToro, you can read our full review.
What is MT5?
MetaTrader is the most popular online trading platform developed by MetaQuotes Software and used globally by traders and investors. Released in 2010, MT5 is a multi-asset trading platform that allows you to trade currencies, CFDs, options, and futures contracts. It provides great capabilities for in-depth price analysis (21 timeframes), and you can use algorithmic trading applications to automate your trades and copy trading features. The platform lets you open up to 100 quote charts simultaneously with over 80 technical indicators.
Does eToro support MT4?
No, eToro does not support MT4.