Download MetaTrader 5
To add comments, please log in or register
Find out how to install MetaTrader on Mac OS
Baby Blue
20
Baby Blue 2015.03.15 23:40 

I've noticed that MT4 backtesting uses the entry price to convert profits into the base currency. Why so?

EUR/USD - Base currency: EUR 

Buy Entry: 1.4100 | 1000€ = 1410$

Ipotetical Exit: 1.4200 => 1410$ /1.4200 = 992,957 => 1000€ - 992,957 = 7,04€ profit

Ipotetical Exit: 1.4000  => 1410$/1.4000 = 1007,142 => 1000€-1007,142€ = -7,14€ loss

Backtester says: 100pips = 10$ => 10$/1.41 = 7.09€ which is the mean of the previous two values.

/
To add comments, please log in or register