The Inevitable Migration from MT4 to MT5

🧠 Status Quo Bias and Trading Habits

In behavioral finance, Status Quo Bias refers to people’s tendency to stick with the current state and resist change—even when change could lead to better outcomes. Traders’ reliance on MT4 is a classic example:

• Familiarity: MT4 has been around for more than 20 years, and many traders are accustomed to its interface and workflow.

• Comfort zone: Even knowing that MT5 offers more advanced features, many still prefer MT4 simply because it feels safe.

• Learning cost: Migrating to MT5 requires learning new functions and a new programming language (MQL5), which discourages change.

📌 MT4’s Current Status and Future

• Official support: MetaQuotes announced that starting December 1, 2024, older versions of MT4 (below Build 1420) would no longer be supported and could not connect to brokers’ servers.

• Functional limitations: MT4 only supports forex trading, and its MQL4 language is limited, making it difficult to implement advanced AI, automation, or multi-asset strategies.

• Industry trend: More regulated brokers are promoting MT5, and most new indicators and Expert Advisors (EAs) are being developed in MQL5.

📈 Why Migration to MT5 Is Necessary

• Multi-asset support: MT5 covers not only forex but also stocks, futures, and CFDs.

• Stronger programming capabilities: MQL5 is more powerful, enabling complex AI-driven and automated strategies.

• Faster backtesting and optimization: MT5 offers multi-threaded backtesting, far more efficient than MT4.

• Compliance and transparency: MT5 provides more complete trading records, aligning better with modern regulatory requirements.

⚠️ Risks and Lessons

• Risk: Continuing to rely on MT4 may eventually lead to connectivity issues or lack of updates.

• Lesson: Traders should gradually learn and migrate to MT5 to adapt to industry trends and compliance standards.

MT4 was once the gold standard of forex trading, but with stricter regulations and technological progress, it is gradually fading from the stage. Status Quo Bias reminds us: people are often more attached to habits than to rewards. In forex trading, clinging to habits may mean missing the future. Migrating to MT5 is not just a technical upgrade—it is a necessary step to break free from psychological inertia.

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