June 10, 2016

BACKTESTING

WVMTS INDICATOR offers you possibility to back test idea in NinjaTrader® Backtesting window and as well optimize trades so you get an (personal strategy).

Some interesting you tube vid’s that can be used in this step:

  1. Backtesting | NinjaTrader® 7
  2. Backtesting on NinjaTrader®
  3. Walk Forward Optimization | NinjaTrader® 7

Interesting is that WVMTS INDICATOR offers you so many ideas what to trade, when and how.

You are also ready to implement trading idea into an automated trading system useing Ninja Trader platform

One maybe end up with some new strategies ..looking charts.. Maybe you spot for example that (Gap Up) after P7 works really well. (see BDGE stock, attached charts)

If you trade it in sync with a trend and maybe use options you can build up some small accounts ?!?

That is why i made this indicator Backtesting “friendly”

You can play with LineBreak , PointandFigure and Kagi chart

Attached also is an clip where you can see Strategy Analyzer testing P10 and P1010 patterns ( on SP500 stocks) 10y and 20y in the past

This is just an example and not a trading strategy or suggestion

You will see that there is no commission included and slippage..and off course, many more things need to be checked… accuracy of TP and SL spots ..on the very end an Walk Forward Optimization

That is far away from “true” testing but at least you made a first step in a whole process and you can know where you stand

First i did 20y and than 10y of backtesting which you will see in this very clip

You can do it for futures, stocks

I mainly test stocks and try to pair it with option trades

But with so many Patterns you have ton of possibilities

You can pair trades/entries with a trend ( trade just longs for example if W and D are in sync.)

You can take reverse entries, INVERTED TRADES feature  ( saw once that strategy worked better under such a rules)BDGE (Daily) 1_8_2016 - 6_10_2016

Backtesting and optimizing