What things to consider while back testing?

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Taymullah Fadel
Answered 6 months, 4 weeks ago
<p id="isPasted">There are various factors on which the back testing strategies may depend. Few of them are sighted below :</p><ul><li>Past data of market behaviour.</li><li>Model refining, so that it best fits historical data, without accounting for the fact that future conditions may be different.</li><li>Past datasets on an adverse market event or sentiment</li><li>Sufficient datasets to likely produce models that would account for a wide variety of market conditions</li><li>A trading strategy that should work well on several datasets from one market (eg forex) as well in another market (eg shares)</li><li>Strategies that should be tested well in both bullish …</li></ul>
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