I was thinking about doing a follow-up and adding to it. I wanted a backtest that would show most of the code and still have a result. However, think it would be cool to iterate and add. The problem is showing a full strategy would require a lot of code and hard to break down in a video.
Awesome! Great to see more coding/algo videos. Please continue to share more of these. I know the discretionary method will always have a place in trading, but as we get more and more technical, and Python/C++ continue to grow in finance, it really helps to see what some of the bigger traders/firms are doing. Cheers!
Another great video. One of the best things a trader can do is backtesting everything. You're backtesting strategies and your knowledge, everyone should do it.
What code is this? Python? C++? CloudQuant in-house code? How and where did you learn this? Is this part of your education as a new trader with SMB Capital or were you required to learn this at University?
I do the bulk of my backtesting through the tos on demand feature. Recently started backtesting option strategies here to further extend my knowledge. Im looking forward to Seth's Moneyshow presentation today.
@@smbcapital I did. You can tell how well he knows his craft and he is such a strong presenter. It was like watching one of his SMB options videos live in real time!
Been trading for 3 years now, new to coding in strategies, would like to test volume bar pattern strategy that has been working, just to have the figures of accuracy and average gain...what do u suggest for learn to implement that type of back test? thanks
Risk ratio is the most important point. My problem is that my strategy works best whit 1 percent profit and 3 percent stop loss. Shouldn't it the opposite way?
Nice try. You need to establish a procedure and not getting lost in programming. There are testing procedures on how to test entry by themselves and the same for exit before testing the full strategy, I.e. in and out combined. You need to define your data set: in data and out data, when there is trend, bullish or bearish, or just lateral range market. Need to test on historical data, real time with paper account, real time with real money account but with small size trad before going fully live. If you are not making money at each step, why do think you will make some live ? Finally, you also need to add error management, not only in your program, as a number divided by zero, but also outside, like with order refusal by your broker. From my own experience, it can be costly. Thinking your order is placed and when closing you are in an opposite opened trade or closing a good trade but your order is rejected, this happened to me also. Continue your good or and improve on it.
