Relationship between "Open" and "Tick" in backtesting

Thank you for your continued support. This is Dr. Neko.

Today, regarding backtesting,
I would like to write a little about it.

In backtesting,
three patterns can be selected.

Among them, the two that are particularly commonly used are the following two.

(1) “Open price” → fast, but there are EA with lower accuracy

(2) “Tick” → high accuracy, but slower (takes time)

These are roughly the characteristics.

Basically,
if you test with “Tick,”
you can conduct high-precision tests,
so selecting “Tick” should be reliable.

However, in optimization tests,
when you must execute many backtests,
to shorten the time,
it is recommended to first test with the “Open price.”

First, test with the “Open price,”
to survey the general performance changes,
and then, within the range where performance improves,
perform more detailed backtests with “Tick.”

By doing so,
you can backtest efficiently without waste.

Please try it.

Also, regarding backtesting with the “Tick,”
not only FXDD’s one-minute data, but also

・TickStory
・Tick Data Suite

are software that enable more detailed backtests (realistic) to be performed,
and are sold.

It would be preferable if you could have at least one of these materials as well.

In particular, for EA with “Tick operation,” using software like the above to conduct backtests on “realistic tick data” is important, otherwise you might feel uneasy.
This is especially true for those.
Please note that our side, depending on the use,

uses multiple backtest data sets,

・FXDD one-minute data
・Tick Story
・Tick Data Suite

and differentiates their use for backtesting.

To improve forward performance,
it may be helpful to know that there are such backtesting methods as well,
so please keep these in mind.
(Note: Tick Story is available for about 4,000 yen.
Also, Tick Data Suite is a bit expensive,
so I recommend starting with a trial version.)

If possible, please consider this as a reference.

Dr. Neko