MoneyTec Traders Community Forum - View Single Post - *** Live forward testing versus Back testing

LogicRules · 23-05-2007, 16:14

I agree 100%. Backtests are good for debugging EAs, though. They're good for checking that trades get opened and closed pretty much where you would expect them to, and to make sure your lot sizes are being calculated properly.

For whatever reason, they often show much more profit than you see in forward-testing.

Some people claim to be able to get greater than 90% fidelity with tick-by-tick backtesting, but still I find myself only trusting forward-testing to judge how good an EA is.

Here is an effective and simple check you can do on anyone offering EAs: ask them to show you their LIVE statement that is trading one of the EAs. If they won't show you this, they are scammers.

23-05-2007, 16:14	#2
LogicRules level 1 Join Date: May 2007 Posts: 25 Downloads: 0 Uploads: 0 Rep Power: 0	Re: * Live forward testing versus Back testing** I agree 100%. Backtests are good for debugging EAs, though. They're good for checking that trades get opened and closed pretty much where you would expect them to, and to make sure your lot sizes are being calculated properly. For whatever reason, they often show much more profit than you see in forward-testing. Some people claim to be able to get greater than 90% fidelity with tick-by-tick backtesting, but still I find myself only trusting forward-testing to judge how good an EA is. Here is an effective and simple check you can do on anyone offering EAs: ask them to show you their LIVE statement that is trading one of the EAs. If they won't show you this, they are scammers.