Quote:
Originally Posted by zoreli
I read so much about back testing, but I have no idea how can I perform that test?
How can I back test this system (if it is system at all) when I place my trades on base on what I see on the chart?
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I can tell you how to do it @ Metatrader4.
Open a chart.Roll it back in history.If "Auto-scroll" function of MT4 is on turn it off.Go to "Chart"/"Step by step" or just pres "F12" on your keyboard.That will move candles one by one.
Follow your trading plan and right down when you would enter and when you would exit position.Be honest with you self.Do same as you would do if it was real cash.Repeat this many times.
At the end of backtesting you will know your win/lose ratio.You can turn it into % so you would know in how much % your trading plan was sucessfull.
Sorry about spelling i am in the hurry,no time to check e-dictionary.
Cheers!
VTK