Strategy Optimzation
Algorithms within a strategy can be optimized to market conditions using data in the Calculations Table.
Last updated
Algorithms within a strategy can be optimized to market conditions using data in the Calculations Table.
Last updated
Risk management elements are not included in backtests done in the Pro Trader. See the section for details on potimizing strategies that include Stop Loss, Trailbacktesting strategies that i
Each faction can be used in isolation or in confluence with other factions. If multiple factions are used in a strategy, each faction should be isolated and optimized individually before backtesting the complete strategy.
To isolate a faction, follow these steps:
Select your desired primary e.g. Vikings
Uncheck all boxes in the section
Uncheck all faction confirmation boxes in the section.
The faction has now been isolated and is ready to be optimized to market conditions. In this state, settings within the , , , and sections will have no effect on trend signals or backtest data displayed in the . However, they may still operate in the background or interact with global settings.
Global settings in the , , , , and sections will not be affected by the steps above.
Data from the backtester built into the Pro Trader is displayed in the . This data can be used to optimize a faction for current market conditions. Optimization is achieved by altering the configuration settings of a faction until is maximized and is minimized.
can be also used as a measure of optimization, although it is important to note that a strategy with a low Win Score % can still be traded profitably if appropriate risk management is used. Implementing or effectively can minimize drawdown on losing trades, and or strategies can lock in profit on winning trades. Refer to the section to learn about including risk management elements in backtested profitability calculations.
If multiple factions are contributing to a strategy, each faction should be isolated and optimized individually before backtesting the complete strategy. The procedure for is outlined in the section.
It is best to optimize each faction contributing to a strategy individually before combining them using the or features in the Pro Trader.
For example, to use Rangers as a confirmation with Vikings, implement the following steps:
Load Rangers as the primary .
Ensure all boxes in the and sections are unchecked
Optimize settings until the shows maximum and minimal account .
Switch the primary to Vikings.
Optimize settings until the shows maximum and minimal account .
Select Rangers Confirmation in the settings.