My backtest results for 12 vs. 6 tick chart and trailing at the TC line vs new method

#1

I created two charts. I created a 12 tick chart with a 17 period chop filter. I created a 6 tick chart with 17 period chop filter. I looked at 4/21/15 and 4/22/15. I used the method of TC entry and trailing at the TC line (so the older method) and I compared that with the new target, trend, slinghot method. The way I determined the slingshots is if it had a wick I assumed it would have been a slingshot in live trading. Sometimes those arrows don’t come when looking at a historical chart.

I looked at a time period from 9:30 to 4:30 eastern time.

What i found surprised me. Using a 6 tick chart with 17 period chop filter and trailing at the TC line was almost double the amount of ticks profit. It came out to 154 ticks profit for these two days.

Is this just a fluke for these two days? I can’t trade tomorrow but on Monday I’m going to demo trade the 6 tick chart and see how that works.

Oh and it was for NQ.

#2

A backtest of two days isn’t really worth anything at all. You need a lot more data than that to come to a conclusive decision.

That’s like testing a drug on two people and saying it works… only to later find out it doesn’t in most cases. Or maybe it does work great all the time, but you’ll never know until you have sufficient data.

#3

I agree with Travis, two days is almost meaningless. You need at least 2 weeks of consecutive entries on the same market or at least 40 trades preferably more! Obviously the more trades you make the better the sample.

#4

But 2 days does tell you this is worth looking at for the past 2 weeks 2 weeks says check out past 4 weeks back 4 weeks says use good risk management and do demo demo 2-4 weeks say time to go live with the same proper risk management and size used in demo