The best MetaTrader 5 (MT5) Forex brokers, according to our research, are:
- Admirals
- AvaTrade
- Vantage
- FP Markets
- IC Markets
- FBS
- FxPro
- ActivTrades
- Forex.com
- Axiory
In order to rank the best MT5 brokers to trade Forex and CFDs, we have taken the following factors into account:
- Any additional features offered for MT5 by the broker
- The number of forex pairs offered on MT5
- The forex spreads charged
- The forex trading modes offered
- The quality of service and trading tools offered
- The broker’s regulations
Table of Content
What are the best MT5 forex brokers?
Below our curated list and review of the best MT5 forex brokers, with a description of features and characteristics.
Warning
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you can afford to take the high risk of losing your money.
What is the MetaTrader 5 platform?
MetaTrader 5 is an electronic advanced multi-asset trading platform, developed by the company MetaQuotes Software.
MT5 allows for trading CFDs, forex pairs, stocks and futures. It offers advanced technical analysis, a flexible trading system, and algorithmic trading tools. It’s an upgrade from the older version, MetaTrader 4 (MT4), with enhanced features, though both are still commonly used.
MT5, compared to MT4, supports more markets (forex, stocks, futures), provides an integrated economic calendar, includes more time frames and technical indicators. It offers a more sophisticated back-testing environment, greater depth of market view, and has advanced order types. Unlike MT4, it supports multi-threaded trading strategy testing and has a built-in chat system.
MT5 brokers should appeal to advanced traders who need access to a wider variety of financial markets, advanced back-testing, more technical indicators, and a multi-threaded strategy tester. Its additional features, including futures and stock trading, and economic calendar integration, make it ideal for traders wanting comprehensive analysis and trading tools. However, its complexity might overwhelm novice traders.
Is MT5 better than MT4 for forex trading?
MT5 and MT4 are equally good when it comes to trading forex. However, in general, forex traders prefer the MT4 platform because it is the trading platform with the most loyal community.
The MT5 in fact remains a very good choice for doing forex trading, as it offers everything that the MT4 already has, but with enhancements such as more tradable assets and more analytical and trading tools. In fact, there are 9 timeframes on the MT5, expanding to 21 on the MT5. This allows more flexible trading and greater choice for all forex traders.
Another marked difference is the type of robot programming, as the MT4 and MT5 robots are not compatible with each other. If you are interested in algorithmic trading, you may prefer MT4 as the community of algorithmic traders is much larger, and they can help you take your first steps into the world of automated trading systems.
Pros and cons of MT5 forex brokers
Pros:
- Can run on most PCs and laptops
- Caters for both Windows and MAC users
- Modern layout
- Flexible trading environment
- Great for algorithmic traders
Cons:
- Smaller community of traders compared to MT4
How do I choose the best MT5 Forex broker?
- Choose a regulated forex broker: Selecting a regulated forex brokerage holds utmost significance, regardless of your preferred broker or trading strategy. Opting for an MT5 forex broker possessing the appropriate license to operate in your country ensures that, should any disputes arise, you have the ability to lodge a complaint and receive direct support from the financial markets watchdog.
- Consider a forex broker that allows algo trading: MT5 proves to be an excellent choice for forex trading, and its standout feature lies in the ability to develop, install, and download Expert Advisors (EAs) for automated trading. However, it’s worth noting that not all MT5 brokers permit their clients to utilize EAs. Therefore, if auto-trading systems intrigue you, it’s crucial to take this factor into account when selecting a broker.
- Choose a forex broker with low spread: When engaging in trading activities, it’s essential to be mindful of the associated costs. Typically, forex brokers levy commissions through the spread, which represents a mark-up on the expense of purchasing or selling a forex pair. It’s important to note that the forex spread is not fixed, but rather it usually commences at 1 pip for the most liquid forex pairs. Being aware of these spread-related costs is crucial for effective trading decisions.
How do MT5 forex brokers work?
To start using an MT5 broker you will necessarily have to open a demo trading account (if you want to try the broker) or real money account (if you want to start trading). After that you will have to download the MT5 platform directly from the broker’s website, enter your login information. From there, you can start buying and selling currencies in the market.
Opening a trading account with an MT5 forex brokerage is relatively simple. All you will need is an email and a password if you want to open a demo account.
However, if you are already ready to trade with real money, you will first need to verify your account by following the KYC procedure, and then deposit an amount of money necessary to meet the minimum deposit of the broker you have chosen.
Once you open your account, demo or real, the MT5 broker will email you login credentials. With these, once you download MT5 and enter your login information, you will be able to access your dashboard of where you can start trading forex.
What are the MT5 characteristics?
The MetaTrader 5 (MT5) platform offers the following features:
- Multiple Asset Classes
- Advanced Technical Analysis
- Algorithmic Trading
- Support for Hedging
- Timeframes
- Market News and Economic Calendar
- It offers real-time data
What MT5 excels at is the trading flexibility it offers. In contrast to MT4, forex traders on MT5 can also hedge and take advantage of the more than 70 chart analysis tools.
In addition to this, traders can also use algorithms for automated trading, however, it should be kept in mind that MQL4 robots are not compatible with the MQL5 language (i.e., that of MetaTrader 5). Consequently, in order to transpose a robot from MT4 to MT5, one must either tweak the code or rely on a professional developer.
Is the MT5 trading platform safe?
The MetaTrader 5 (MT5) trading platform prioritizes security through multiple measures. It employs encryption to ensure secure communications between the server and the user. Additionally, firewall protection adds an extra layer of safeguarding.
Users are required to utilize unique login credentials, enhancing the platform’s security further. It’s essential to note that MT5 does not store funds; instead, money is kept in a segregated account at Tier 1 banks.
It’s often overlooked that MT5 itself is not a broker; thus, financial transactions never occur directly on its servers. Instead, MT5 acts as a bridge between the trader and their chosen forex broker.
When a trader places an order or makes a request, MT5 relays this information to the forex broker, who then executes the trades as per the trader’s instructions. Consequently, any monetary transactions take place through the forex broker’s servers and not through MT5’s system.
Can you use EAs on the MT5 trading platform?
The MT5 platform caters for algorithmic trading.
In order to apply an automated trading system to your trading platform, you must copy and paste the EA into the Experts folder inside the MT5 software files. To do this, click on “File” and the “Open Data Folder” (or you can simply press CTRL+Shift+D).
The MT5 system folder will open. Click on the “MQL5” folder, then “Experts”, and copy-paste your EA here in this folder.
Once you’ve done this, go to the “Navigator” tab on the left hand side, right click on “Expert Advisors” and click on “Refresh”. You should be now seeing your EA into the folder.
Drag and Drop the EA onto the chart you want to do automated trading on, and then click on “Algo Trading” to enable the EAs.
