Backtest

Back Testing serves as the key to confident evaluation. Simulate a chosen approach over historical markets by selecting a strategy, market, and stocks. Set the analysis frequency and define the preferred time frame. Witness the past unfold in real-time, enabling refinement and optimization of the investment approach for future success. Back Testing empowers informed decisions, providing a clear understanding of how strategies would have performed in the past, helping shape a more resilient and profitable investment future.

Simple Steps

Initiate a backtest by following these steps.

1

Create Your Strategy

Begin by crafting one or more strategies through the “Create New Strategy” option. Define your unique approach to stock analysis and save it for future use.

2

Navigate to the Dashboard

Head to the Dashboard and locate the “strategy” tab. Here, you’ll find a list of your created strategies.

3

Select Strategy for Back Testing

Choose the strategy you wish to backtest from the available options. This is the foundation for evaluating its historical performance.

4

Access Back Test Section

Once your strategy is selected, navigate to the “Back Test” section. Here, you’ll find tools to set parameters for your analysis.

5

Configure Back Test Settings

In the “Back Test” section, customize your analysis by specifying the market (e.g., NASDAQ), selecting stocks (e.g., AAPL, TSLA), setting the analysis frequency, and defining the historical data range.

6

Adjust Portfolio Configuration

Enhance your portfolio by entering an initial cash amount, selecting a benchmark (e.g., cash), and deciding on buy/sell execution options.

7

Run Your Back Test

Hit the “Run Back Test” button to initiate the analysis. Watch as QuantBe processes your chosen strategy, providing valuable insights into its historical performance.

8

Explore Analysis Charts

After completion, delve into the insightful analysis or plan to schedule a live trading session effortlessly. With Analyzer, gain deeper insights into your strategy’s performance and refine your trading approach with confidence. Additionally, seamlessly transition from analysis to action by scheduling live trading sessions directly from the platform.

Input Parameter

Back Test Setting

Strategy
required

Select a predefined strategy from the available list.

Market
required

Select a stock market from the available list.

Ticker
required

Select a ticker from the available list.

Frequency

Get default frequency from strategy.

Start at
required

Select a start date and time from the calendar.

End at
required

Select a end date and time from the calendar.

Portfolio Configuration

Initial Cash
required

Input an initial cash amount for this back test.

Benchmark
required

Select a benchmark.

Buy Executive
required

Optimize your buying strategy effortlessly with Buy Exec.

Sell Executive
required

Optimize your selling strategy seamlessly with Sell Exec.

Analyzer

Analyzer is an extension of the BackTest functionality, designed for in-depth analysis and validation based on BackTest results. It helps users understand if the specified rules within the strategy were executed correctly and reveals the operational logic behind buy and sell signals.

Usage Instructions:

  1. Initiate Analyzer:

    Upon completing a BackTest, navigate to the top right corner of the page and click on “Switch to Analyzer” to start the Analyzer feature.

  2. BackTest Tickers and Thumbnails:

    All BackTest tickers and their thumbnails are displayed on the left side of the Analyzer page.

  3. Viewing Signals:

    Clicking on the stock trend thumbnail of a ticker shows all the buy and sell signal interfaces generated by that ticker. Hovering over a ticker icon displays the corresponding thumbnail

  4. Back to Strategy:

    Clicking on the strategy name at the top bar helps users return to the corresponding strategy.

  5. Validation Mode:

    • Click on a buy or sell signal on the left to activate Validation Mode. All buy and sell markers on stock charts will be hidden.
    • A selection bar will automatically appear on the candle bar with the corresponding buy or sell signal, centered for optimal visibility.
    • All buy and sell signal tags will display on the stock chart, except for the selected signal on the left. Users can drag the selection bar to another buy or sell signal point and release it to perform validation.
    • If the validation results in a Sell signal at the location of the selection bar, the corresponding Sell signal on the left will be highlighted. The signal point will be marked by a purple icon beneath the selection bar on the timeline.
    • Clicking on a log entry in the Validation Log will highlight the corresponding pattern tag on the stock chart.
    • After completing validation, dragging the stock chart left or right will not move the selection bar horizontally; it will follow the movement of the candle bar that was marked during validation.
  6. Validation Log:

    The validation log on the right side displays different statuses for each function in the strategy, such as True (green checkmark), False (red cross), Pass through (purple arrow), and Running Failed (yellow exclamation mark). This log clearly shows why each buy/sell signal was generated at that point and provides immediate feedback if any errors occur, such as displaying “Running failed” for errors.