MT4 backtest results using either variable spread/current spread?

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Hi.  I subscribe to Tick data service and can achieve 99.90% accuracy with my MT4 backtest results.

But, would someone please tell me whether I should trust the results of using Variable spread or should I trust results using Current spread?

The two seem vastly different, with much better results when i back test using variable spread.


Thanks!

 

Trust the results ?

What do you mean by that ?

 
Let me put it this way, Which one should I trust?
 
Crouchingdraco: Let me put it this way, Which one should I trust?

Neither and/or both! The variable spread is more realistic and the current spread more artificial.

But in order to properly analyse the robustness of your EA, you need both types of testing. You should run many tests, with variable spread and different values of fixed spread, to see how your EA responds in each case.

If it is a properly coded EA, then it should be able to properly handle all the variations and adjust accordingly, or even stop trading if it deems the spread too high.

 
Fernando Carreiro:

Neither and/or both! The variable spread is more realistic and the current spread more artificial.

But in order to properly analyse the robustness of your EA, you need both types of testing. You should run many tests, with variable spread and different values of fixed spread, to see how your EA responds in each case.

If it is a properly coded EA, then it should be able to properly handle all the variations and adjust accordingly, or even stop trading if it deems the spread too high.

Well, I used tick data for backtesting both types of spread.  In every situation where I kept all test parameters the same, variable spread comes out to be multiple times better than current or fixed spreads.  The resulting trades are exactly the same( trade time), Why is that may I ask?
 
Marco vd Heijden:

Trust the results ?

What do you mean by that ?

Marco "backtest" radar in alert...loool
 
Crouchingdraco: Well, I used tick data for backtesting both types of spread.  In every situation where I kept all test parameters the same, variable spread comes out to be multiple times better than current or fixed spreads.  The resulting trades are exactly the same( trade time), Why is that may I ask?

Without knowing the strategy being implement it is difficult to say, but it could mean that the EA cannot adjust or adapt to higher spreads and chances are that in real live trading it could have some problems and be less profitable or even do badly.

To properly understand the back-tests results, requires that you understand all the mechanisms at play. It requires skill, knowledge and experience, and those take a long time to acquire.

 
Alain Verleyen:
Marco "backtest" radar in alert...loool

Okay i will just leave it then :) 

 
Crouchingdraco:
Well, I used tick data for backtesting both types of spread.  In every situation where I kept all test parameters the same, variable spread comes out to be multiple times better than current or fixed spreads.  The resulting trades are exactly the same( trade time), Why is that may I ask?
My understanding Variable Spread is the moment of spread of the history for that particular currency pair, so could be low as 3 ~ 10 depend on which currency pair; the Current is the moment you run the backtesting at that time the spread of the currency pair, is you run is at weekend the spread for that currency could be 30 or higher… so is not so accurate…. That’s why Var the BT result mostly better than Current, however to stress test the EA if you use fox spread such as 20 / 30 if the result is positive means if this is put into live market mostly will have a better result.  However future market never be the same as history :-)
 
i think you should test it on the worst / highest spread if its still working then your EA could adapt n the market ,easy 
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