Backtesting

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FXCM started public beta testing of their new Strategy Trader trading platform back in March.  They are positioning their new platform as a superior alternative to MetaTrader 4 and the forthcoming MetaTrader 5. They describe it as:

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One of the drawbacks of MetaTrader 4 has always been that whilst you can write a multi-currency expert advisor for the platform, the MT4 strategy tester only allows you to backtest one currency at a time.  Now that the bugs in the MetaTrader 5 strategy tester are gradually being removed, we're just starting to use it for some serious testing.

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To celebrate the fact that forex broker Dukascopy have at last officially become a Swiss bank we have rewritten our first example robot to work on their JForex platform.  Take a look at the JForex source code on our community forum.

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Now that MetaTrader 5 is finally able to perform backtests we've rewritten another of our example MT4 expert advisors to run on MetaTrader 5. Since the members of our forum seem to be particularly keen on moving average crossover systems at the moment, we've ported our robot example 3 over to MQL5 and tested it out using the MT5 strategy tester. If you want to try this for yourself please feel free to download our MQL5 source code.

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Over the weekend MetaQuotes released yet another new beta version of MetaTrader 5. This one is build 268, dated April 24th, and as we speculated earlier this month, at long last MetaTrader 5 now comes complete with a strategy tester!

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MetaQuotes, the Russian company that produces the MetaTrader forex trading platform, has announced that it is reviving its automated trading championship in 2010. According to the post on the MQL5 website:

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The recent introduction by Alpari UK of "interbank spreads" on their MetaTrader 4 demo accounts has given us the perfect opportunity to demonstrate one of the potential problems you might encounter using the MetaTrader 4 strategy tester to evaluate a forex trading strategy you have developed for yourself, or even bought off a virtual shelf.  Our regular readers will know that we have performed numerous live tests and backtests on the Forex MegaDroid "robot". Today is a Saturday, so I had a few minutes spare to run yet another backtest on the Droid. I started the simulation on March 30th 2009, the date the Forex MegaDroid team launched their creation amid great fanfare, and finished it yesterday evening.  Here's what the Alpari UK MetaTrader 4 demo strategy tester showed me:

More on The MetaTrader 4 Backtesting Blues – Track 1

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The Forex MegaDroid team seemed to think that the NFA's new FIFO regulations were going to cause their creation some problems. On July 5th they sent an email to their customers promising that:

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A new version of FapTurbo Evolution has been released!  This was extremely welcome news for us here at the Trading Gurus because backtesting the robot was proving to be something of a nightmare.  According to the email we received announcing the new version it has:

More on The FapTurbo Evolution Backtesting Blues – Track 1

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We've just added a new instalment to our course on how to build your very own forex trading system. This one explains a new variation on an old boiler room trick that can be used by scammers to show unrealistically profitable test results for MetaTrader robots.

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