Broker to Trading

MetaTrader is a third party platform supported by a wide range of brokers, typically available as a desktop download, webtrader and mobile app. Its two current versions in general use are MT4 and MT5. MT5 is the successor to MT4 and has a number of enhancement on MT4. MetaTrader is associated with Forex trading, but both MT4 and particularly MT5 can support a range of other markets, including Stocks CFDs.

However MetaTrader is perhaps equally well known as a platform which supports automated trading by robots, as well as trading where the human trader executes their own trades. Both MT4 and MT5's online trading robots are called Expert Advisors (EAs). These can be downloaded or even built by the trader to execute strategies, for example trades based on indicator signals.

Robots have a number of advantages over the human trader, but can also produce drawdown or losses in the trader's account, in situations where the trader might exercise their discretion and exit a trade. However the very fact that robots will continue executing a trade in the face of drawdown is one reason they are used, as the trade may (or may not) work out in the end.

For the trader who executes their own trades and wants to perform their own analysis, MT4 and MT5 have the usual range of charting tools such as technical indicators. MetaTrader can also include social and copy trading, whether these features are supported or not depends on the broker. A point to consider about MetaTrader is that the trader signs up with a broker to trade on it and the broker decides which features to support and what markets to provide, within the capacity and constraints of the platform.

IQ Option is a broker and offers a platform available as a desktop download, a web trader and as a mobile app, which has been developed over a number of iterations. It aims to be user friendly and has an arguably attractive appearance. This platform is designed for the trader who executes their own trades, it does not include the capacity to automate trades or the capacity to copy trade (but it can include social trading information via Community Live Trades and Chats).

IQ Option's platform offers 100+ technical indicators. MetaTrader typically has less indicators, however the trader can download and build technical indicators (in addition to trading robots). This said, IQ Option allows the trader to build their own indicators with Quadcode Script. As well as indicators, IQ Option provides fundamental analysis tools in the shape of News, and Forex and Earnings Calendars. IQ Option has 300+ markets to trade encompassing a relatively wide range of markets. The range of markets offered at IQ Option can be greater than that offered by a MetaTrader broker.

A feature of IQ Option is that it provides a low minimum order size of $1 or for margin trading, 0.001 lots. Thus the trader can trade markets with a smaller account size (and the minimum deposit for a real account at IQ Option is $10). Some MetaTrader brokers provide cent accounts. These are accounts which let the trader trade with trade sizes smaller than micro lots (0.01 standard lots). For example XM in the table above provides a cent account (called a Micro account at XM) which has trade sizes down to 0.0001 lots. Thus cent accounts also tend to have smaller minimum deposits as the trader can potentially trade with smaller account sizes.

In short then, MetaTrader is a platform, while IQ Option is a broker offering a platform. The range of market and features offered by the MetaTrader platform depends on the broker while similarly IQ Option determines the features offered by its platform and the markets available to trade. If the trader wishes to try out MT4 (and its other platforms), they can try out a demo at AvaTrade, which offers both MT4 and MT5. If they wish to try out a demo of IQ Option's platform, they can try out the platform via the sign up form or the link below.