Backtesting of trading strategies: features and nuances
Have you ever watched a chart and saw a familiar model of technical analysis, but were not completely sure how you should approach trading? Thousands of traders experience this feeling of uncertainty every day. On the other hand, there are traders who are more prepared and know what their next step should be. Many of these recent traders have spent countless hours researching and exploring pricing models through history testing. And this allows them to stick to their trading plan with a higher level of confidence. So what is testing trading strategies? This is the process of using a strategy tester based on historical price data. You can perform manual testing by printing exchange rate charts or by viewing charts online. In addition, you can program trading algorithms that will perform testing according to the specified parameters. Regardless of how you decide to test your strategies, the process itself will help you analyze emerging market situations and will undoubtedly provi...