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Back Testing - Evaluating your Trading Strategy 101

545
SELF DEVELOPMENT/METHODOLOGY/PSYCHOLOGY

Back Testing - Evaluating your Trading Strategy 101

Backtesting of technical methods in light of past prices is the most popular testing strategy among technical traders.Below is a short list that will get you started;

1. How many trades does it generate?
..............................................

2. Whats the reliability of the system?
...............................................

3. How big is the average profit compared to the average loss?
.............................................................................

4. Many more..............

#Remember that you need enough data to create at least 30 trades in each test #

Please let me know if you would like to know more :)

Happy Trading

"success occurs when opportunity meets preparation" Zig Ziglar

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