Deceptive Algo Trading Equity Curves | Algorithmic Trading | Trading Strategy। Trading for Beginners

[@ProsperityAlgoSolutions]

Great advice Kevin. I can't imagine running a system without forward testing it for at least a month on demo.

[@AlgoTradingWithKevinDavey]

Thanks for the comment! Demo can be deceiving too, depending on the platform. So I recommend running not on demo and for much longer than 1 month.

[@danielcioca1]

@@AlgoTradingWithKevinDavey in my case, I have tested a strategy on both demo account and live account in the same time , and I did not get the same results . On the real account, orders are not filled in the same time with the demo account. Depending on the broker , it might not even send the same data like on the real account ( see the market closing/opening time etc) . During news also demo account same EA behaves differently than on real account .

[@AlgoTradingWithKevinDavey]

@@danielcioca1 That is a big deal. One thing I teach in my course is the importance of backtest/live match and ways to ensure that happens.

[@ElderedAmbrose]

I've been having problems with real trades that work fine, but the next day the backtest shows something different.

[@AlgoTradingWithKevinDavey]

Thanks for the comment, that is an all too common problem. Usually non-time based bars (like Renko) are to blame. There are some other "gotchas" too that can be in the strategy or in the software settings. If you want to believe the backtest, it is important that what you are seeing does NOT happen.

[@danielcioca1]

It might be the case that in your backrest tou are NOT using the same data like when you are trading live ! It depends on what kind of software you are using also .

[@AlgoTradingWithKevinDavey]

@@danielcioca1 possible causes also, but usually the backtest is simply setup incorrectly.

[@danielcioca1]

Hello Kevin! I apologize in advance, I don’t want to offend you! Why do you call yourself “champion trader “?

[@AlgoTradingWithKevinDavey]

Because I won a year long, real money, trading contest. So I was the champion. It was an audited, independent contest.