Backtesting is a very important step in learning or developing a strategy. It will solidify your understanding of the rules of the strategy and help you to develop guidelines to improve your performance. It will also show you the edge of a given strategy, and give you the confidence to stick with it over the long term or to dump it and go back to the drawing board.  

Complete this Activity: Many Times

 

How to Complete This Activity

Take the strategy you have learned or are developing and choose a market and a year to backtest. Using a trading simulator such as Forex Tester or Track N Trade, export the trades into a journal. Or you can manually record the trades in Excel while running through MT4 or any chart of that market. Once you have completed a year of trading submit it below for review.