Why Traders Still Use MetaTrader 3 and 4: An Analysis of Their Persistence

Forex foreign exchange trading has witnessed significant advancements in trading platforms, with MetaTrader 5 (MT5) being the latest and most advanced version. However, a handful of traders still actively use the older versions, MetaTrader 3 (MT3) and MetaTrader 4 (MT4). Why do some traders continue to prefer these older versions despite the availability of a more advanced platform? Let's explore this interesting phenomenon.

The Usage of MetaTrader 3 and 4

My automated trading system is running on MetaTrader 4 (MT4), and this is one of the reasons why I continue to favor it. Many traders who have been in the game for years still rely on MT4 for their trading needs. Although MetaTrader 5 (MT5) has been around since 2010, the industry has remained largely dominated by MT4.

MT4's Dominance in the Forex Market

The industry standard in the forex market seems to be MetaTrader 4. It has become almost synonymous with forex trading. One of the key reasons for its popularity is its user-friendly interface, which is intuitive and easy to navigate for traders of all skill levels. Additionally, the platform offers a wide range of trading tools and features that cater to both novice and experienced traders.

Why the Persistence of MT3?

MetaTrader 3 (MT3) is another platform that has seen some persistent usage, although to a lesser extent than MT4. The primary reason for its continued use is the absence of the no hedging restriction, which is a significant drawback for MT5. Hedging is not prohibited everywhere, and MT3 allows traders in certain regions where hedging is legal to continue their trading activities without restrictions.

Traders' Preferences and Expectations

Traders often have specific expectations when it comes to trading platforms. These include requirements for specific technical indicators, charting tools, and automation features. MT4 and MT3 continue to meet these expectations better than the newer versions. For instance, some traders prefer the editing of MetaQuotes Language (MQL) scripts, which is more straightforward and efficient in MT4 and MT3.

Emergence of New Platforms

While MT4 and MT3 remain popular, there are emerging web-based platforms that are gaining traction. One such platform is Tradeos, which offers a more modern and user-friendly interface compared to traditional desktop platforms. However, the incumbent legacy of MT4 and MT3 is still strong among many traders.

Conclusion

Despite the significant advancements in MetaTrader 5, traders still opt for the older versions, MetaTrader 3 and MetaTrader 4, due to their user-friendly interfaces, hedging capabilities, and familiarity. The forex market continues to evolve, and as new platforms arise, it will be interesting to see the shift in preferences among traders.