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#1 01-04-2019 21:01:50

johnedward
Admin & Trader
From: Paris - France
Registered: 21-12-2009
Posts: 2536
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MetaTrader 4's market share gained ground in 2018

MetaTrader 4's market share gained ground in 2018


The market has long predicted that MetaTrader 4 would eventually fade away, despite the dominance of the trading platform, which is still the most popular one for traders. For over 14 years, this platform has been the industry standard, especially for brokers that want to satisfy the demand for automated trading.

The software publisher also released a successor called MetaTrader 5 nine years ago. Despite this long period of time, the new platform hasn't been able to surpass MetaTrader 4's dominant status.

The chart below details the volumes of trades conducted through the MT4 platform (excluding Japan).

http://www.forex-central.net/forum/userimages/volume-worldwide-forex.JPG
Share of worldwide forex and CFD volumes in the retail trading market using MetaTrader 4



Forex traders seem to really be loyal to MetaTrader 4. The slow adoption of MetaTrader 5 over the past few years has not been strong enough to disrupt the sector's trends. As you can see, in the first quarter last year, more than 50% of the total volumes traded outside Japan used MetaTrader 4.

At the end of the year, this market share rose to 55%. The jump in MetaTrader 4's market share was consistent throughout the year, peaking at the end of the September 2018.

http://www.forex-central.net/forum/userimages/MetaTrader-4-market-share.JPG
MT4 market share vs that of competing platforms



As the charts indicate, the market composition changed in favour of MetaQuotes' older platform towards the end of 2018.

Has ESMA contributed to MT4's revival?

Data from publicly traded companies shows that ESMA's new rules have affected the market. The likelihood that clients have turned to brokers outside the EU, which are more focused on MT4, is confirmed by the below chart.

http://www.forex-central.net/forum/userimages/IC-Markets-average-volume.JPG
IC Markets, avg. monthly vol. on MetaTrader 4 last year



The average monthly transactions volume achieved using the MT4 platform at IC Markets has steadily gone up throughout the year. The jump from $308 billion a month at the end of March 2018 to nearly $495 billion a month over the last three months represents a sizeable 61% boost.

There's no doubt that this steep jump is tied to Europe's harsh regulatory modifications. Recently, Australian brokers have been actively pursuing European licenses in order to take advantage of the favourable environment and serve the needs of EU traders.

The latest Australian forex brokerage to have acquired a CySEC license is FP Markets.

http://www.forex-central.net/img/platforms/demo-mt4.png   http://www.forex-central.net/img/platforms/demo-mt5.png


"Anything worth having is worth going for - all the way." - J.R. Ewing

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