![]() While long-term FX investors may rely on fundamentals to catch broad trends in select currency pairs, swing, day and intraday traders turn to technical indicators to place price action into a manageable context. In modern forex trading, technical analysis is the go-to methodology for active traders. The backtesting results are then used to scrutinise a strategy's market entry and exit points, as well as to optimise risk management parameters. When completed, the study provides the trader with an idea of the strategy or system's past performance. What Is Backtesting?īacktesting is the act of applying a trading system or strategy to a historical data set. ![]() ![]() One such way of doing so is through trading strategy backtesting. Additionally, being able to test trade ideas for application to the live market is inherently useful. Now, shares, CFDs, futures and forex traders are well-advised to be equipped to navigate an increasingly dynamic landscape.ĭue to advances in information systems technologies, skills such as being able to use a software trading platform and troubleshoot internet connectivity issues in real-time are necessities. The rise of the digital marketplace has placed an added emphasis on technical proficiency.
0 Comments
Leave a Reply. |