Skip to main content

3 docs tagged with "forward-test"

View All Tags

Difference between backtest, forward test, and live trading

Backtesting a strategy helps in quantifying a strategy's historical risk and return expectation. Armed with this data, traders get the confidence to deploy large sums of capital into their strategies. But sometimes, your daily backtested data might differ from your Live trading and forward testing results. Below we have tried to explain some of the reasons as why this might be so:

Execution Plan

AlgoTest gives you the ability to automate your trading strategies using algorithmic trading.