How accurate is back test? (For Past Result)

shanmugapradeep  
Hi,

Can anyone tell me how accurate is back test for past result (Not future result). I know bast performance do not guarantee future result.

So, here i am asking about a past result.

I made a back test for EA (Oct 2020) and the result is in negative but the developer of EA said me back test provide false result and for him October 2020 was profitable with same EA which given a negative result with back test.

Can anyone clear my doubt?
Eleni Anna Branou  
shanmugapradeep:
Hi,

Can anyone tell me how accurate is back test for past result (Not future result). I know bast performance do not guarantee future result.

So, here i am asking about a past result.

I made a back test for EA (Oct 2020) and the result is in negative but the developer of EA said me back test provide false result and for him October 2020 was profitable with same EA which given a negative result with back test.

Can anyone clear my doubt?

MT5 backtest is almost identical to real/live trading, MT4 backtest is by far inferior.

You should have in mind though that there are ways for an EA to fake backtest results and produce different (better) results than the ones should have in real/live trading.

Anak Agung  
shanmugapradeep:
Hi,

Can anyone tell me how accurate is back test for past result (Not future result). I know bast performance do not guarantee future result.

So, here i am asking about a past result.

I made a back test for EA (Oct 2020) and the result is in negative but the developer of EA said me back test provide false result and for him October 2020 was profitable with same EA which given a negative result with back test.

Can anyone clear my doubt?
If it is fast scalping EA that requires broker stop level at 0 and can close trade in a few seconds then it will differ badly on live. But if the EA trade at longer term and do simple buy and sell without cancelling like limit or stop it will have a pretty similar result on live. Even 90% modelling quality from MQL5 data is enough to test good and bad EA
Reason: