What does over fitting means_

[Osmar Sandoval Espinosa]

Since the beginnig of my journey as a MQL5 dev I've heard a lot the word over fitting, for my understanding it refers finding an specific set of parameters for an EA to work...

any ideas?

[AnAcc9]

Osmar Sandoval Espinosa:

Since the beginnig of my journey as a MQL5 dev I've heard a lot the word over fitting, for my understanding it refers finding an specific set of parameters for an EA to work...

any ideas?

Overfitting is bad. It means you use too many indicators to fit past market behaviour almost perfectly. It normally fails eventually in the current market because markets are non-static, they change from regime to regime. You have to adapt and recognize market regime changes and adapt accordingly. The fewer instruments traded, the fewer indicators and the fewer rules on the long time frames, the better. My two cents.