Backtesting indicator 2 on GBPAUD
Another video demonstrating the backtesting of the signals from Jan 2021!
First my target was set to 1 : 9 ATR profit multiplier,, in this case I have noticed that after the signal is printed, price will go into my direction but then reverse before hitting my target. so I had a couple of losing trades because of far profit target, however, when a couple of successful trades play out nicely, then that would make up the small losses. So it depends on your risk tolerance.
Thats why, I adapted my profit target in the settings of the indicator to 1 : 6 ATR profit multiplier, which has changed results greatly, since profit target was hit on almost all signals.
First my target was set to 1 : 9 ATR profit multiplier,, in this case I have noticed that after the signal is printed, price will go into my direction but then reverse before hitting my target. so I had a couple of losing trades because of far profit target, however, when a couple of successful trades play out nicely, then that would make up the small losses. So it depends on your risk tolerance.
Thats why, I adapted my profit target in the settings of the indicator to 1 : 6 ATR profit multiplier, which has changed results greatly, since profit target was hit on almost all signals.