😱 Ternyata Bisa Backtest GRATIS Tanpa TradingView?! Gini Caranya!

Summary

This video provides a practical guide on performing free backtesting for trading strategies without paying for premium subscriptions like TradingView. The presenter explains how to use GoCharting's free version, including the replay feature to simulate market conditions and analyze trade setups. Viewers are guided step-by-step to record trades in an Excel sheet, track win rates, and evaluate risk-reward ratios. The tutorial also covers identifying supply and demand zones, recognizing valid and fake breakouts, and setting entry, stop-loss, and take-profit points. Overall, it empowers traders to practice strategies, build confidence, and improve decision-making without risking real money.

Takeaways

• 😀 Backtesting is the process of testing your trading strategies without real money to check their effectiveness.
• 😀 You can backtest for free using GoCharting instead of paying for a premium service like TradingView.
• 😀 Excel is a useful tool to track your trades and automatically calculate your win rate for each strategy setup.
• 😀 The Excel template provided allows you to log trades as 'win' or 'loss,' and it will calculate the win rate for you.
• 😀 The GoCharting platform offers a free replay feature that lets you test your strategies by simulating past market data.
• 😀 GoCharting's free plan offers enough features for backtesting, unlike TradingView which requires a subscription for replay functionality.
• 😀 The replay tool on GoCharting helps adjust the speed of the candles to simulate how the market would have moved in the past.
• 😀 You can apply various technical analysis concepts like trend lines, support/resistance zones, and demand/supply zones when backtesting.
• 😀 Example setups include using trend lines to identify potential breakout points and setting stop-losses (SL) and take-profits (TP) accordingly.
• 😀 The video explains different types of demand zones, including 'rally base rally' and 'drop base rally,' and how to trade them based on the market's behavior.
• 😀 When backtesting, it's essential to track each trade's result (win/loss) and adjust future strategies accordingly for better performance.

Q & A

What is backtesting in trading?

Backtesting is the process of testing a trading strategy using historical data before applying it to live markets. It helps traders evaluate the potential success of their strategies by analyzing past market movements and determining if the strategy would have been profitable.

Why is backtesting important for traders?

Backtesting is important because it allows traders to practice their strategies without risking real money. It helps in evaluating win rates, risk-reward ratios, and in building confidence in the strategy before it is used in the live market.

What is the main challenge with backtesting on TradingView?

The main challenge with backtesting on TradingView is that it requires a paid subscription, with the minimum cost being around $16-$17 per month. This might be a barrier for new traders or those who are not ready to commit financially.

How can you perform backtesting without a paid subscription?

One way to backtest without a paid subscription is by using a free tool called GoCharting. It provides similar features to TradingView, including a replay function that allows users to simulate past market conditions without a cost.

What tools are needed for backtesting as described in the video?

The tools needed for backtesting include an Excel sheet for tracking trades, a GoCharting account for using its replay feature, and a trading setup (such as identifying trends and placing stop-loss (SL) and take-profit (TP) levels).

How do you use the Excel sheet for backtesting?

You use the Excel sheet to track each trade's result, marking whether it was a win or a loss. The sheet automatically calculates your win rate, helping you track and analyze your trading performance over time.

What is the process for setting up a backtest using GoCharting?

To set up a backtest on GoCharting, you first need to register for an account, log in, and then use the replay feature. This feature allows you to simulate past market movements by adjusting the speed of the chart's candles and analyzing price movements to place trades.

What is the significance of a 'trend line' in backtesting?

A trend line helps identify the direction of the market. In backtesting, it can indicate potential breakout points. If a price breaks through a trend line, it may signal a change in market direction, providing an opportunity for traders to enter a trade.

What is the difference between 'rally base rally' and 'drop base rally' demand zones?

Both 'rally base rally' and 'drop base rally' are types of demand zones. 'Rally base rally' indicates a market that rises, consolidates, and then continues upward, while 'drop base rally' involves a market that drops, consolidates, and then rises again. These zones help traders identify areas where price may reverse.

How do fake outs and valid breakouts differ in backtesting?

A fake out occurs when the price breaks through a demand or supply zone but fails to sustain the movement, often returning to the original trend. A valid breakout happens when the price breaks a zone and continues in the new direction, signaling a stronger and more reliable trend reversal.