Yesterday, you built your first trading plan.
Today, we make sure that plan actually works.
This is where most beginners skip â and later regret.
đ Backtesting = practicing on past charts.
No money. No stress. Just learning.
đ§ What Is Backtesting? (Very Simple)
Backtesting means:
Looking at past price charts and checking
âWould my strategy work here?â
Think of it like: đď¸ Practicing before a real competition.
đŞ The 5 Simple Steps to Backtest
You donât need special tools. Just a chart.
1ď¸âŁ Pick One Strategy Only
Use the plan from Day 24:
Entry ruleStop-lossTake-profit
đ Donât change rules while testing.
2ď¸âŁ Go Back in Time on the Chart
đ Scroll left
Pretend you donât know what happens next
đ This keeps it honest.
3ď¸âŁ Find Trade Setups
Every time your rules match:
Mark entryMark stop-lossMark take-profit
Ask:
âWould I take this trade?â
4ď¸âŁ Record the Result
Write it down:
đ
Win or loss Risk vs rewardđNotes (emotion, mistake, patience)
đ Data beats memory.
5ď¸âŁ Repeat (At Least 20â30 Trades)
One trade means nothing.
Patterns appear after repetition.
đ Consistency is revealed over time.
đ Why Backtesting Matters
Backtesting:
Builds confidenceShows real probabilitiesRemoves guesswork
đ Testing beats hoping. Always.
đ Beginner Reminder
A strategy doesnât need:
100% win ratePerfect entries
It needs:
DisciplineRisk controlConsistency
đ Final Push
You donât need to trade tonight.
đ Backtest tonight instead.
Future you will thank you.
đ Comment âTESTEDâ after you try it
đ Share this with someone who trades without testing
#Backtesting #strategy