Once in a while we borrow ChatGPT's power 173【The Importance of Backtesting EA】
FX Auto Trading, the EA developer’s RYOMA’s Doublei-E.
This series has aimed to post daily since last year.
It has probably continued for about a year and a half now!
If you read what I have written so far,
I am confident you will get closer to better EA operation.
And, since I’d like to take a short break,
I will continue posting with the help of ChatGPT.
From time to time I will post irregularly as before.
The Importance of Backtesting for EAs
FX Auto Trading・EA Developer Ryoma’s Doublei-E.
This time we will explain “The Importance of Backtesting for EAs.”
Why is backtesting necessary?
A proper EA developer always develops through backtesting.
Because it is the only way to confirm whether the created logic truly has an edge.
Backtesting is the process of using past market data to verify, “If I traded with this logic, what would the result be?”
If an EA cannot win with past data, it cannot win in future real trading either.
In other words, an EA that has not been backtested is simply a “wishful expectation”.
The Relationship Between Backtesting and Forward Testing
When choosing an EA, some people judge by “forward performance.”
Of course forward results are important, but backtesting is essential to underpin forward results.
Thanks to backtests, you can determine that “this forward result is not a fluke but reproducible.”
To put it another way…
This is similar to clinical trials for medicines.
Only medicines with a solid amount of clinical data can be prescribed safely.
If there is no data and someone says “I think it works!”, that’s scary, isn’t it?
EAs are exactly the same, where backtesting serves as the “clinical data.”
Summary
An EA that has not been backtested is “without basis.”Forward performance is valuable only when backed by backtests.When choosing an EA, always pick one with backtesting results published.? From Ryoma’s Doublei-E“Trying to build an EA without backtesting is like sailing without a compass. It’s too dangerous to move forward without knowing where you’re headed!”━━━━━━━━━━━━━━━【From “Want to Start EA” to Intermediate Level Summary】First, mastering “installing EAs” is important.--------------------------------------------------------------------MT4 EA (Expert Advisor) and Indicator Installation Procedureshttps://www.gogojungle.co.jp/post/1/8212--------------------------------------------------------------------※GoGoJungle Video Version※At first, you may not understand everything at once, and many will stumble.I also stumbled many times at first, so don’t rush—you’ll be fine!If something isn’t clear, use the “Contact Form” to ask!----------------------------------■GoGoJungle“Contact Form”https://www.gogojungle.co.jp/inquiry----------------------------------【How to Choose an EA】Now that you have a sense you can operate an EA,you might think, “I don’t know which EA will win… I don’t want to lose….”So Ryoma’s Doublei-E will,“to a certain extent,” be able to tell you the quality through backtesting,and the following articles were serialized.--------------------------------■ How to find winning EAs from backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714----------------------------------Forward testing is important, butbacktesting underpins it.Backtest periods are usually longer than forward periods,“Whether you won by chance in forward testing” can be estimated by refining backtest evaluation methods.【EA Risk Management—How Should It Be Done!?】And no matter how excellent an EA you obtain,FX will collapse if you neglect risk management.So for EAs, how should risk management be implemented?The following article answers that question.----------------------------------■ About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/64703----------------------------------【EA Operation Mindset Is Also Important】And, for long-term continuation of EA operation, the “EA Operation Mindset” is also important.Those articles are,----------------------------------12/30 Year-End and New Year SP!! EA Full Explanation Course Part 3https://www.gogojungle.co.jp/finance/navi/articles/805518/12【Obon Holiday Special】 Now you too can be an EA Master! “Mindset for Improving EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/728298/17【Obon Holiday Special】 Now you too can be an EA Master! “Precautions During EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/73797----------------------------------That’s right,the reading is substantial and quite important,so even if you can’t understand it right away, be sure to read through it!━━━━━━━━━━━━━━━【Ryoma’s Double-E EA Listing】https://www.gogojungle.co.jp/users/112481/productsSpecifically categorized Ryoma’s Double-E EAshttps://www.gogojungle.co.jp/finance/navi/articles/67162(Diversification by genre is essential when forming a portfolio)━━━━━━━━━━━━━━━【Ryoma’s Double-E Serialized Articles】■ EA Beginner Coursehttps://www.gogojungle.co.jp/finance/navi/series/1700--------------------------------「About the Calculation Method for EA Risk Management」https://www.gogojungle.co.jp/finance/navi/articles/64703【Portfolio Version】About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/65978Tips to Spot Fraudulent Materials (in the case of EA)https://www.gogojungle.co.jp/finance/navi/articles/64738Where to Check First When You Have Questions About EAhttps://www.gogojungle.co.jp/finance/navi/articles/65619--------------------------------■ How to Find Winning EAs from Backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714--------------------------------■ No Nonsense! GoGoJungle Issue Raised!https://www.gogojungle.co.jp/finance/navi/series/1701Where is GoGoJungle’s inquiry form?https://www.gogojungle.co.jp/finance/navi/articles/64723--------------------------------Ryoma’s Double-E: Public Release of the “Push Buy / Pullback Sell” Logic!!https://www.gogojungle.co.jp/finance/navi/articles/65010■ Double-E FX Taleshttps://www.gogojungle.co.jp/finance/navi/series/610━━━━━━━━━━━━━━━【Ryoma’s Double-E’s Beliefs】Develop EAs through proper methods,gain the love of more people,and maintain a long-term WIN-WIN relationship,with the aim of revitalizing the EA market and improving literacy.━━━━━━━━━━━━━━━
Forward performance is valuable only when backed by backtests.When choosing an EA, always pick one with backtesting results published.? From Ryoma’s Doublei-E“Trying to build an EA without backtesting is like sailing without a compass. It’s too dangerous to move forward without knowing where you’re headed!”━━━━━━━━━━━━━━━【From “Want to Start EA” to Intermediate Level Summary】First, mastering “installing EAs” is important.--------------------------------------------------------------------MT4 EA (Expert Advisor) and Indicator Installation Procedureshttps://www.gogojungle.co.jp/post/1/8212--------------------------------------------------------------------※GoGoJungle Video Version※At first, you may not understand everything at once, and many will stumble.I also stumbled many times at first, so don’t rush—you’ll be fine!If something isn’t clear, use the “Contact Form” to ask!----------------------------------■GoGoJungle“Contact Form”https://www.gogojungle.co.jp/inquiry----------------------------------【How to Choose an EA】Now that you have a sense you can operate an EA,you might think, “I don’t know which EA will win… I don’t want to lose….”So Ryoma’s Doublei-E will,“to a certain extent,” be able to tell you the quality through backtesting,and the following articles were serialized.--------------------------------■ How to find winning EAs from backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714----------------------------------Forward testing is important, butbacktesting underpins it.Backtest periods are usually longer than forward periods,“Whether you won by chance in forward testing” can be estimated by refining backtest evaluation methods.【EA Risk Management—How Should It Be Done!?】And no matter how excellent an EA you obtain,FX will collapse if you neglect risk management.So for EAs, how should risk management be implemented?The following article answers that question.----------------------------------■ About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/64703----------------------------------【EA Operation Mindset Is Also Important】And, for long-term continuation of EA operation, the “EA Operation Mindset” is also important.Those articles are,----------------------------------12/30 Year-End and New Year SP!! EA Full Explanation Course Part 3https://www.gogojungle.co.jp/finance/navi/articles/805518/12【Obon Holiday Special】 Now you too can be an EA Master! “Mindset for Improving EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/728298/17【Obon Holiday Special】 Now you too can be an EA Master! “Precautions During EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/73797----------------------------------That’s right,the reading is substantial and quite important,so even if you can’t understand it right away, be sure to read through it!━━━━━━━━━━━━━━━【Ryoma’s Double-E EA Listing】https://www.gogojungle.co.jp/users/112481/productsSpecifically categorized Ryoma’s Double-E EAshttps://www.gogojungle.co.jp/finance/navi/articles/67162(Diversification by genre is essential when forming a portfolio)━━━━━━━━━━━━━━━【Ryoma’s Double-E Serialized Articles】■ EA Beginner Coursehttps://www.gogojungle.co.jp/finance/navi/series/1700--------------------------------「About the Calculation Method for EA Risk Management」https://www.gogojungle.co.jp/finance/navi/articles/64703【Portfolio Version】About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/65978Tips to Spot Fraudulent Materials (in the case of EA)https://www.gogojungle.co.jp/finance/navi/articles/64738Where to Check First When You Have Questions About EAhttps://www.gogojungle.co.jp/finance/navi/articles/65619--------------------------------■ How to Find Winning EAs from Backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714--------------------------------■ No Nonsense! GoGoJungle Issue Raised!https://www.gogojungle.co.jp/finance/navi/series/1701Where is GoGoJungle’s inquiry form?https://www.gogojungle.co.jp/finance/navi/articles/64723--------------------------------Ryoma’s Double-E: Public Release of the “Push Buy / Pullback Sell” Logic!!https://www.gogojungle.co.jp/finance/navi/articles/65010■ Double-E FX Taleshttps://www.gogojungle.co.jp/finance/navi/series/610━━━━━━━━━━━━━━━【Ryoma’s Double-E’s Beliefs】Develop EAs through proper methods,gain the love of more people,and maintain a long-term WIN-WIN relationship,with the aim of revitalizing the EA market and improving literacy.━━━━━━━━━━━━━━━
When choosing an EA, always pick one with backtesting results published.? From Ryoma’s Doublei-E“Trying to build an EA without backtesting is like sailing without a compass. It’s too dangerous to move forward without knowing where you’re headed!”━━━━━━━━━━━━━━━【From “Want to Start EA” to Intermediate Level Summary】First, mastering “installing EAs” is important.--------------------------------------------------------------------MT4 EA (Expert Advisor) and Indicator Installation Procedureshttps://www.gogojungle.co.jp/post/1/8212--------------------------------------------------------------------※GoGoJungle Video Version※At first, you may not understand everything at once, and many will stumble.I also stumbled many times at first, so don’t rush—you’ll be fine!If something isn’t clear, use the “Contact Form” to ask!----------------------------------■GoGoJungle“Contact Form”https://www.gogojungle.co.jp/inquiry----------------------------------【How to Choose an EA】Now that you have a sense you can operate an EA,you might think, “I don’t know which EA will win… I don’t want to lose….”So Ryoma’s Doublei-E will,“to a certain extent,” be able to tell you the quality through backtesting,and the following articles were serialized.--------------------------------■ How to find winning EAs from backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714----------------------------------Forward testing is important, butbacktesting underpins it.Backtest periods are usually longer than forward periods,“Whether you won by chance in forward testing” can be estimated by refining backtest evaluation methods.【EA Risk Management—How Should It Be Done!?】And no matter how excellent an EA you obtain,FX will collapse if you neglect risk management.So for EAs, how should risk management be implemented?The following article answers that question.----------------------------------■ About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/64703----------------------------------【EA Operation Mindset Is Also Important】And, for long-term continuation of EA operation, the “EA Operation Mindset” is also important.Those articles are,----------------------------------12/30 Year-End and New Year SP!! EA Full Explanation Course Part 3https://www.gogojungle.co.jp/finance/navi/articles/805518/12【Obon Holiday Special】 Now you too can be an EA Master! “Mindset for Improving EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/728298/17【Obon Holiday Special】 Now you too can be an EA Master! “Precautions During EA Operation”https://www.gogojungle.co.jp/finance/navi/articles/73797----------------------------------That’s right,the reading is substantial and quite important,so even if you can’t understand it right away, be sure to read through it!━━━━━━━━━━━━━━━【Ryoma’s Double-E EA Listing】https://www.gogojungle.co.jp/users/112481/productsSpecifically categorized Ryoma’s Double-E EAshttps://www.gogojungle.co.jp/finance/navi/articles/67162(Diversification by genre is essential when forming a portfolio)━━━━━━━━━━━━━━━【Ryoma’s Double-E Serialized Articles】■ EA Beginner Coursehttps://www.gogojungle.co.jp/finance/navi/series/1700--------------------------------「About the Calculation Method for EA Risk Management」https://www.gogojungle.co.jp/finance/navi/articles/64703【Portfolio Version】About the Calculation Method for EA Risk Managementhttps://www.gogojungle.co.jp/finance/navi/articles/65978Tips to Spot Fraudulent Materials (in the case of EA)https://www.gogojungle.co.jp/finance/navi/articles/64738Where to Check First When You Have Questions About EAhttps://www.gogojungle.co.jp/finance/navi/articles/65619--------------------------------■ How to Find Winning EAs from Backtestshttps://www.gogojungle.co.jp/finance/navi/series/1714--------------------------------■ No Nonsense! GoGoJungle Issue Raised!https://www.gogojungle.co.jp/finance/navi/series/1701Where is GoGoJungle’s inquiry form?https://www.gogojungle.co.jp/finance/navi/articles/64723--------------------------------Ryoma’s Double-E: Public Release of the “Push Buy / Pullback Sell” Logic!!https://www.gogojungle.co.jp/finance/navi/articles/65010■ Double-E FX Taleshttps://www.gogojungle.co.jp/finance/navi/series/610━━━━━━━━━━━━━━━【Ryoma’s Double-E’s Beliefs】Develop EAs through proper methods,gain the love of more people,and maintain a long-term WIN-WIN relationship,with the aim of revitalizing the EA market and improving literacy.━━━━━━━━━━━━━━━
? From Ryoma’s Doublei-E
“Trying to build an EA without backtesting is like sailing without a compass. It’s too dangerous to move forward without knowing where you’re headed!”
━━━━━━━━━━━━━━━
【From “Want to Start EA” to Intermediate Level Summary】
First, mastering “installing EAs” is important.
--------------------------------------------------------------------
MT4 EA (Expert Advisor) and Indicator Installation Procedures
https://www.gogojungle.co.jp/post/1/8212
--------------------------------------------------------------------
※GoGoJungle Video Version※
At first, you may not understand everything at once, and many will stumble.
I also stumbled many times at first, so don’t rush—you’ll be fine!
If something isn’t clear, use the “Contact Form” to ask!
----------------------------------
■GoGoJungle“Contact Form”
https://www.gogojungle.co.jp/inquiry
----------------------------------
【How to Choose an EA】
Now that you have a sense you can operate an EA,
you might think, “I don’t know which EA will win… I don’t want to lose….”
So Ryoma’s Doublei-E will,
“to a certain extent,” be able to tell you the quality through backtesting,
and the following articles were serialized.
--------------------------------
■ How to find winning EAs from backtests
https://www.gogojungle.co.jp/finance/navi/series/1714
----------------------------------
Forward testing is important, but
backtesting underpins it.
Backtest periods are usually longer than forward periods,
“Whether you won by chance in forward testing” can be estimated by refining backtest evaluation methods.
【EA Risk Management—How Should It Be Done!?】
And no matter how excellent an EA you obtain,
FX will collapse if you neglect risk management.
So for EAs, how should risk management be implemented?
The following article answers that question.
----------------------------------
■ About the Calculation Method for EA Risk Management
https://www.gogojungle.co.jp/finance/navi/articles/64703
----------------------------------
【EA Operation Mindset Is Also Important】
And, for long-term continuation of EA operation, the “EA Operation Mindset” is also important.
Those articles are,
----------------------------------
12/30 Year-End and New Year SP!! EA Full Explanation Course Part 3
https://www.gogojungle.co.jp/finance/navi/articles/80551
8/12【Obon Holiday Special】 Now you too can be an EA Master! “Mindset for Improving EA Operation”
https://www.gogojungle.co.jp/finance/navi/articles/72829
8/17【Obon Holiday Special】 Now you too can be an EA Master! “Precautions During EA Operation”
https://www.gogojungle.co.jp/finance/navi/articles/73797
----------------------------------
That’s right,
the reading is substantial and quite important,
so even if you can’t understand it right away, be sure to read through it!
━━━━━━━━━━━━━━━
【Ryoma’s Double-E EA Listing】
https://www.gogojungle.co.jp/users/112481/products
Specifically categorized Ryoma’s Double-E EAs
https://www.gogojungle.co.jp/finance/navi/articles/67162
(Diversification by genre is essential when forming a portfolio)
━━━━━━━━━━━━━━━
【Ryoma’s Double-E Serialized Articles】
https://www.gogojungle.co.jp/finance/navi/series/1700
https://www.gogojungle.co.jp/finance/navi/articles/64703
https://www.gogojungle.co.jp/finance/navi/articles/65978
https://www.gogojungle.co.jp/finance/navi/articles/64738
https://www.gogojungle.co.jp/finance/navi/articles/65619
■ How to Find Winning EAs from Backtests
https://www.gogojungle.co.jp/finance/navi/series/1714
https://www.gogojungle.co.jp/finance/navi/series/1701
https://www.gogojungle.co.jp/finance/navi/articles/64723
Ryoma’s Double-E: Public Release of the “Push Buy / Pullback Sell” Logic!!
https://www.gogojungle.co.jp/finance/navi/articles/65010
https://www.gogojungle.co.jp/finance/navi/series/610
【Ryoma’s Double-E’s Beliefs】
Develop EAs through proper methods,
gain the love of more people,
and maintain a long-term WIN-WIN relationship,
with the aim of revitalizing the EA market and improving literacy.
━━━━━━━━━━━━━━━