Backtesting software: Difference between revisions

Revision as of 01:29, 9 August 2010

Revision as of 18:38, 10 August 2010

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{{multiple issues|wikify =August 2010|dead end =August 2010|orphan =August 2010}}

As of the year 2010 more than 70% of the stock shares traded on the [[New York Stock Exchange|NYSE]] and [[NASDAQ]] are generated from [[automated trading systemssystem]]s.

Automated trading systems are computer software programs designed to trade stocks, futures and forex based on a predefined set of rules which

determine when to enter a trade, when to exit it and how much to invest in it.

Trading system designers / programmers often test their automated trading systems on historical or current market data in order to determine

whether the underlying algorithm guiding the system is profitable or not.

[[Automated trading]] systems are computer [[software programsprogram]]s designed to trade stocks, [[futures]] and [[Foreign exchange market|forex]] based on a predefined set of rules which determine when to enter a trade, when to exit it and how much to invest in it.

Backtesting software are special trading platforms which enable trading system designer to develop and test their trading systems

[[Algorithmic trading|Trading system]] designers / programmers often test their automated trading systems on historical or current [[market data]] in order to determine whether the underlying [[algorithm]] guiding the system is profitable or not.

Backtesting software are special [[trading platformsplatform]]s which enable trading system designer to develop and test their trading systems

on historical market data while aiming to produce optimal historical results.