Backtest
Backtest Version
The Infinity Algo V3.0 Backtest Version enables comprehensive strategy testing with automated position management. Test your ideas before risking real capital.
What is Backtesting?
Purpose & Benefits
Why Backtest:
- Test without real money
- Validate strategy logic
- Understand drawdowns
- Build confidence
- Learn indicator behavior
What You’ll Learn:
- Expected win rate
- Average profit/loss
- Maximum drawdown
- Optimal settings
- Risk tolerance needed
Important Disclaimers
TradingView Plan Limitations
Your testing power depends on your subscription:
| Plan | Historical Bars | Deep Backtesting | Recommendation |
|---|---|---|---|
| Basic (Free) | 5,000 | Test concepts only | |
| Essential | 10,000 | Basic validation | |
| Plus | 10,000 | Casual testing | |
| Premium | 20,000 | Minimum for serious testing | |
| Expert | 25,000 | Professional traders | |
| Ultimate | 40,000 | Maximum capability |
Quick Start Guide
Install Backtest Version
- Remove standard Infinity Algo
- Add “Infinity Algo V3.0 Backtest” from Invite-only Scripts
- You’ll see the “Strategy Tester” tab appear
Open Strategy Tester
- Click “Strategy Tester” at the bottom
- Check the “Overview” tab first
- Note the date range tested
- Verify a minimum of 30 trades
Run First Test
Use defaults initially:
- Don’t change anything yet
- Let it run with standard settings
- Document baseline performance
- This is your reference point
Review Key Numbers
Focus on these first:
- Net Profit — Is it positive?
- Win Rate — What percentage wins?
- Max Drawdown — Can you handle it?
- Total Trades — Enough data?
Understanding the Strategy Tester
Key Tabs Explained
What you see:
- Net profit/loss
- Total trades
- Win rate percentage
- Profit factor
- Max drawdown
Quick interpretation:
- Green = profitable
- 30+ trades = meaningful
- Check drawdown first
Detailed metrics:
- Average trade
- Best/worst trade
- Consecutive wins/losses
- Risk metrics
- Time in market
Use for:
- Deep analysis
- Risk assessment
- Strategy comparison
Every trade detailed:
- Entry/exit prices
- Profit/loss
- Duration
- Signal type
Use for:
- Verify logic
- Find patterns
- Debug issues
Backtest vs Live Differences
What Backtests Include
Historical price data Your strategy logic Entry/exit signals Position sizing
What They Don’t Include
Spread costs Slippage Commission fees Emotional decisions Connection issues Exchange downtime
Next Steps
Your Path Forward
1. Learn Configuration → Configuration Guide
- Exit strategies
- Position management
- Risk settings
2. Understand Philosophy → Why Dynamic Optimization
- AI vs static settings
- Market adaptation
- Common mistakes