Need a little clarification on "every tick" backtesting model

[John Huang]

I would like to understand a bit more on how the "every tick" backtesting model work. Pls correct my understanding if I am wrong.  

For example, in a simple moving average cross over system where we generate a buy signal when the fast MA cross above the slow MA, if we backtest the EA in a 4hr time frame with "every tick" backtesting model, the EA will run using the 4 hrly bar data until the bar that has the fast moving average crossed over the slow MA. In order to determine a more precise price at which the SMA cross over took place, the "every tick" backtesting model will look at the tick data within the price bar which the cross over took place to determine a more precise price which trigger the cross over which is the buy price for the EA.

Is my understanding sound pls?

Thks and regards,

John