Which Backtesting Software is Best for Systematic Traders?

Metatrader 4 VS Metatrader 5: Which Trading Software is the Best? - Table of Contents

MetaTrader 4 VS MetaTrader 5: Comparing Backtesting Software for Systematic Trading

MetaTrader 5 is better suited for systematic traders than MetaTrader 4, thanks to its faster backtesting engine, multi-threaded performance, and improved strategy development environment. However, both fall short of serious backtesting platforms like RealTest if your goal is deep portfolio-level simulation and robust system design.

If you’re trading based on rules, not hunches, the right trading software matters. Let’s break down the key differences between MT4 and MT5 so you can decide which (if either) belongs in your systematic trading toolkit.

MetaTrader 4 VS MetaTrader 5 at a Glance:

Short on time? Here’s how MetaTrader 4 VS MetaTrader 5 compare side by side.

Feature	MetaTrader 4 (MT4)	MetaTrader 5 (MT5)
Year Released	2005	2010
Platform Compatibility	Windows, iOS/Android apps	Windows, Web, iOS/Android, macOS via web
Programming Language	MQL4 (C-like, simpler)	MQL5 (C-like, more powerful)
Strategy Backtesting	Single-threaded	Multi-threaded
Portfolio Backtesting	Not supported	Limited multi-symbol testing
Strategy Optimization	Basic	Advanced, genetic algorithm supported
Charting & Indicators	Extensive	Extensive (with some improvements)
Data Access	Broker-dependent	Broker-dependent
Automation Support	Full (via Expert Advisors)	Full (via Expert Advisors)
Best Use Case	Simple automated trading	More advanced strategy development

Platform Overview, Cost & Compatibility

Both MetaTrader 4 and MetaTrader 5 are free-to-use platforms provided by brokers. Neither requires a licensing fee from traders. However, the underlying tech stack differs.

MT4 runs on Windows and has mobile apps. Mac users can access it via Parallels or other VMs, though Wine is not recommended due to stability issues.
MT5 adds web-based and macOS compatibility through the browser terminal and better mobile app support.

For systematic traders, MT5’s broader compatibility and updated architecture make it a better fit for modern workflows.

MetaTrader 4 Main View:

MetaTrader 5 Main View:

Market Access & Data Support in MetaTrader 4 VS MetaTrader 5

Both platforms rely entirely on your broker for data. You don’t get clean historical datasets or full market depth unless your broker provides them.

MT4 is typically used for forex and CFDs.
MT5 supports a broader range of asset classes including stocks, futures, and options depending on the broker.

So while market access isn’t limited by the software itself, your broker’s offering defines your actual trading universe.

MetaTrader 4 Backtesting Interface:

MetaTrader 5 Backtesting Interface:

Building & Customizing Trading Strategies

This is where the gap widens.

MT4 uses MQL4, which is simpler but more limited. Good for basic Expert Advisors (EAs), but clunky for portfolio-level logic or advanced modeling.
MT5 uses MQL5, which is more powerful, supports OOP (Object Oriented Programming), and is closer to a full development environment

If you’re serious about building and refining your own trading algorithms, MT5 offers a more flexible coding environment.

Check Out: Trading System Development

MetaTrader 4 Code Editor:

MetaTrader 5 Code Editor:

Backtesting Performance, Speed & Realism

MT4’s backtesting engine is outdated. It’s single-threaded and lacks realism. Testing one strategy at a time is slow and doesn’t account for slippage or order queue dynamics well.
MT5 introduced multi-threaded backtesting, which significantly speeds up testing and allows multi-currency strategies. However, it’s still not true portfolio-level backtesting like you get in RealTest.

MT5 is the clear winner here, but if realism and portfolio simulation are your top priorities, MT5 still falls short of tools purpose-built for backtesting.

Check out: Backtesting | Drawdown

MetaTrader 4 Backtest Report:

MetaTrader 5 Backtest Report:

Strategy Optimization & Stress Testing Tools

MT4 supports brute force optimization. It gets the job done but is slow and lacks statistical insight.
MT5 adds support for genetic algorithms and cloud optimization, which improves speed and result variety.

Still, neither MT4 nor MT5 gives you the kind of robustness testing systematic traders really need (e.g., Monte Carlo simulations, parameter sensitivity, walk-forward testing). For that, you’d need RealTest or tools like AmiBroker.

MetaTrader 5 Genetic Optimization:

Charting Features, Signal Exploration & Live Execution

Both platforms offer rich charting and hundreds of indicators. You can build visual templates, custom studies, and launch trades directly from charts.
Scanning is limited, especially for equities traders. There’s no robust market scanner unless you build it yourself in code.
Execution is seamless through integrated broker connections, which is a plus.

If visual analysis and manual execution are part of your workflow, either platform works well. For scanning and system-driven execution, MT5 offers more flexibility, but again, you’re capped by the broker.

Check Out Order Types | Automated Trading Systems

MetaTrader 4 Automation Set Up:

MetaTrader 5 Automation Set Up:

Support, Documentation & Learning Resources

MT4’s documentation is mature but aging. Plenty of community support and YouTube tutorials, but many are outdated or inconsistent.
MT5’s resources are newer and more developer-focused. MetaQuotes’ documentation has improved, and there’s a growing ecosystem of developers.

Still, neither platform comes close to the clarity and structure offered by RealTest’s documentation, which is built specifically for systematic traders.

MetaTrader 4 Forum Front Page is illustrated down below:

MetaTrader 5 Forum Front Page is illustrated down below:

MetaTrader 4 VS MetaTrader 5: Which One Should You Use?

MetaTrader 5 is the better choice for systematic traders who want more speed, flexibility, and multi-symbol testing. Its modern architecture and MQL5 language make it more powerful for strategy development.

MetaTrader 4 is only worth using if your broker doesn’t support MT5, or if you’re maintaining legacy strategies.

But both fall short if your goal is professional-grade backtesting and systematic strategy design. That’s where RealTest or AmiBroker clearly take the lead.

Our Recommendation

If you’re serious about becoming a consistent, confident systematic trader, neither MT4 nor MT5 should be your main backtesting software.

You can use MT5 for basic live automation with your broker, but pair it with RealTest for fast, realistic backtesting and strategy development. That combo gives you execution flexibility and system-building power.

If charting is a big part of your process, consider AmiBroker or TradingView as supplementary tools – but avoid using MT4/MT5 as your sole research platform.

Want The Rest of the Puzzle?

Backtesting software is just one piece. The real transformation happens when you align your tools, your systems, and your psychology with your goals.

If you’re tired of chasing tips and want to build wealth systematically, the next step is clear: The Trader Success System.

Inside, you’ll discover:

Proven trading systems
A step-by-step backtesting framework
Position sizing tools
Automation strategies that let you trade in 30 minutes or less

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Trading and Backtesting Software Review List

Check our our Trading and backtesting software review hub

Adrian Reid Founder and CEO

Adrian is a full-time private trader based in Australia and also the Founder and Trading Coach at Enlightened Stock Trading, which focuses on educating and supporting traders on their journey to profitable systems trading. Following his successful adoption of systematic trading which generated him hundreds of thousands of dollars a year using just 30 minutes a day to manage his system trading workflow, Adrian made the easy decision to leave his professional work in the corporate world in 2012. Adrian trades long/short across US, Australian and international stock markets and the cryptocurrency markets. His trading systems are now fully automated and have consistently outperformed international share markets with dramatically reduced risk over the past 20+ years. Adrian focuses on building portfolios of profitable, stable and robust long term trading systems to beat market returns with high risk adjusted returns. Adrian teaches traders from all over the world how to get profitable, confident and consistent by trading systematically and backtesting their own trading systems. He helps profitable traders grow and smooth returns by implementing a portfolio of trading systems to make money from different markets and market conditions.

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Metatrader 4 VS Metatrader 5: Which Trading Software is the Best?