Backtesting by hand: how many trades do you collect before trusting a setup?

Manual backtesting — scrolling back, marking setups, recording results — is slow but teaches more than any automated run. The question is always sample size: twenty trades is noise, two hundred is information.

Backtesting by hand: how many trades do you collect before trusting a setup? — risk-reward diagram
A risk-reward ratio of 1 to 2

What's your standard?

  • how you run a manual backtest
  • the trade count you require before going live
  • how you keep the test honest (no hindsight editing)
Backtesting by hand: how many trades do you collect before trusting a setup? — candlestick anatomy diagram
The parts of a candlestick: wick, body, open and close

The expectancy guide tells you how to read the results.

Comments

Log in to join the discussion. Comments follow the community guidelines.

Log in to comment

Loading comments…