How do I back test a strategy

[ankitc.trade]

Hi,
I am a newbie and looking for some advice from seniors.
Would you recommend a software for running the strategy backtest?

I would like to

1. backtest a strategy that generates single taking multiple time charts into account.
2. test a strategy with stop-loss, square-off defined
3. Technical indicators like CCI, Stochastic Momentum Index, Linear Regression indicators etc.

Thanks

 

[ankitc.trade]

Can anyone please help me with this query?
Thanks
Ankit

 

[savkar]

use ninja trader to backtest. its free

 

[harshab]

use ninja trader to backtest. its free

but can we use it on indian markets?

 

[mutualguru]

Hi,
I am a newbie and looking for some advice from seniors.
Would you recommend a software for running the strategy backtest?

I would like to

1. backtest a strategy that generates single taking multiple time charts into account.
2. test a strategy with stop-loss, square-off defined
3. Technical indicators like CCI, Stochastic Momentum Index, Linear Regression indicators etc.

Thanks

There are lots of software available for back testing in indian markets, the best once we have to pay. You can try a one month trial version of amibroker, ninjatrader is ok but I would not recommend, Zerodha PI (if you have a broker account) etc

 

[ankitc.trade]

Thanks for the replies, I have explored Pi but it doesn't suffice for this purpose.
Amibroker trial version won't let me backtest.

I can try Ninjatrader, but am not sure how to make it work in Indian context.

Any other pointers would be welcome.
Thanks
Ankit

 

[mutualguru]

Thanks for the replies, I have explored Pi but it doesn't suffice for this purpose.
Amibroker trial version won't let me backtest.

I can try Ninjatrader, but am not sure how to make it work in Indian context.

Any other pointers would be welcome.
Thanks
Ankit

There are full blown programming languages that you can use for backtesting. Search for backtesting libraries in Matlab, python or R. But i have to warn you these softwares require a steep learning curve.

 

[ankitc.trade]

@MutualGuru, Thanks, that helps. Let me look it up. Since I have engineering background, learning curve won't be that big an issue.
I do want to understand how to get the past data though. I have tried getting the same from Google and Yahoo, but it is a limited set.
Any suggestion on getting the past data?
Thanks
Ankit

 

[mutualguru]

@MutualGuru, Thanks, that helps. Let me look it up. Since I have engineering background, learning curve won't be that big an issue.
I do want to understand how to get the past data though. I have tried getting the same from Google and Yahoo, but it is a limited set.
Any suggestion on getting the past data?
Thanks
Ankit

@ankit its really good that you have an engineering background you can easily learn those programs. Dont worry about getting past data. Those libraries have inbuilt data fetching functions which will fetch historical data from google or yahoo finance. To make your search easier try this method quantmod/quantstart libaries in R :thumb::thumb: best of luck