Hi all,
Interesting topic and all of you gave very good answers and great resources on deciding how to handle backtests.
The purpose of using determines if it works or not.
1. I absolutely agree when you want to check the EA's methodology if it does what you expect from it then it is a great tool.
2. For checking the profitability of the strategy it is not so good, but not fully useless. If your strategy fails at backtest results it has a huge chance to fail on real trading. If backtest results show that it makes profit that means it worths the effort to see what will it do in real circumstances.
If you are ensured that your EA works properly and making the appropriate orders then it would be good idea to run it live and backtests parallely, to see the difference in the profitability.
Do you all use MT4 backtester module, or do you have more sophisticated program for backtesting?
Interesting topic and all of you gave very good answers and great resources on deciding how to handle backtests.
The purpose of using determines if it works or not.
1. I absolutely agree when you want to check the EA's methodology if it does what you expect from it then it is a great tool.
2. For checking the profitability of the strategy it is not so good, but not fully useless. If your strategy fails at backtest results it has a huge chance to fail on real trading. If backtest results show that it makes profit that means it worths the effort to see what will it do in real circumstances.
If you are ensured that your EA works properly and making the appropriate orders then it would be good idea to run it live and backtests parallely, to see the difference in the profitability.
Do you all use MT4 backtester module, or do you have more sophisticated program for backtesting?