Quote:
Originally Posted by newdigital
There are many ways to code EAs with very good backtesting results (but nothing with reality of course). Coders know about it...
|
One of the method to receive good backtesting results (sometimes) is to code on open bar. Many coders know it. It works sometimes. And if we attach such a "good" EA to backtest (every tick loce bar method) so we will receive very good results.
We may ask to the seller: "was it coded on close bar?"
We will receive repy: "yes, of course!".
But who know ... we can not look inside the code of commercial EAs ...
The other method is to code on high/low of some indicator. For example:
Code:
trend1 = iMA(NULL, 0, LSMA, 0, MODE_SMA, PRICE_LOW, 1);
trend2 = iMA(NULL, 0, LSMA, 0, MODE_SMA, PRICE_LOW, 2);
trend3 = iMA(NULL, 0, USMA, 0, MODE_SMA, PRICE_HIGH, 1);
trend4 = iMA(NULL, 0, USMA, 0, MODE_SMA, PRICE_HIGH, 2);
In this case EA will perform differently in backtesting and in forward testing (not good especially, just differently).
There are many other methods how to make good or different backtesting results for the EA (just to sell EA to the people). I do not know many of those methods because I am not a coder sorry.
Good example of 1st method is qq EA (based on momentum indicator and open price). We can look inside the code of this public EA to see why this EA is so good in backtesting. And it is good EA for exchanging
But performance of this EA is nothing with backtesting of course. It is public EA. We can look inside the code (there are 1 or 2 threads somewhere on this forum).
Good example of 2nd method is MaChannel EA (from elite section). Elite members can look inside the code. EA is profitable for 1 pair but very different in backtesting.
Good example of all 2 methods all together is one of the version of Firebird EA. Public as well and we can look inside the code.
But what to do with commercial EA? We can not look inside the code of commercial EA to understand how it was coded ...
In some cases, I think, the evaluator (or the client) is having the right to ask the source code from the seller.
Otherwise it is no way to protect anyone from anybody anywhere.
, if you're in a restaurant what did u buy ? the food that ready to eat , right? not the recipe 
Linear Mode
