sq results vs mt4 backtest

which results should be trusted? 

i keep getting diffrent results from both.. 

Hello,

 

you can dig deeper to where the difference comes from. Do you use tick data for strategy development and testing or bar close only?

Hello,

 

you can dig deeper to where the difference comes from. Do you use tick data for strategy development and testing or bar close only?

the main diffrence I found, is that MT4 closes some trades right away ( every 2nd one) while SQ doesnt.. 

I trade on tick mode, even though the trades are Daily or 4h time frame… ( i just prefer to have real results)

its really weird, I dont know if thats just MT4 backtest acting weird, or thats how it will be in demo forward trading as well 

This is obvious: which will be actually running the strategy? (MT4)

MT4 results is the results you need to take into account if SQ and MT4 gives you different results,

 

SQ doesn’t take commission/swap/leverage into consideration + SQ have a different backtesting engine from MT4 besides that as Threshold already mentioned, at the and of the day you will be trading with MT4.

 

i was using SQ alot and i had many times that SQ shows very good results but MT4 shows very different results and very bad one.., even if you do a realtime demo forward testing you will see that the results will be the same as your MT4 results and not even close to the SQ results, been there done that.

 

right now i’m not using SQ at all, i’m waiting for the new SQ4 to come out because this version is very buggy and slow,

the new version will have a better backtester engine which Mark said that they are building from scratch, more flexible workflow, multi-pair, multi-TF, multi-orders,

all in all the new version will have huge doors to new opportunities to find more strategies, because lets put it that way for example,

right now SQ can only work with only 1 order at a time, so the strategies you will find will be based only one 1 order at a time and not many trades over your history file,

but when the new SQ4 will come out you can use multiple orders at a time so you will find more strategies that SQ3 cannot find right now, plus many trades over your history file which means more statistical significance.

 

thats only one example.., more examples was already discussed in the forum like more flexible workflow, multi-pair, multi-TF, multi-orders, and etc..

 

you still can find very good strategies with SQ3 but the workflow is inflexible, not so accurate overall, very very slow even with geektrader’s add-on, lack of options..

 

i’m personally waiting for SQ4 that should be done soon and will be less buggy because all the old bugs will be fixed, new backtester engine will be more faster and accurate and reliable SQ4 built from 0 and it is not an updated version of SQ3, so more parts has been taken to consideration from the beggining and thats why it takes so long for SQ team to release an alpha/beta version to the public this should be understandable. 

 

BTW*: even when SQ4 will come out and it should have SQ-Trader which will give you an ability to trade directly from SQ4 although you will still be able to convert the strategy into MQL4 EA,

but still even if you will use the SQ-Trader you will have to retest the strategy in MT4, because although SQ-Trader is trading for you, the trades still will be traded though MT4.

unless SQ-Trader will have some kind of API connection to you broker but this is a different topic, but if SQ-Trader will be connected though API to your broker then SQ’s backtester results will be taken into consideration because MT4 will not be used.

 

great idea by the way to add API connection into SQ-Trader, Mark i hope you reading this 🙂

SQ doesn’t take commission/swap/leverage into consideration

 

 

SQ does take commission into consideration if you setup the symbol with a commission amount.

 

Swap is a problem for trades, some brokers have very high swap rates and it eats into profitability.

SQ does take commission into consideration if you setup the symbol with a commission amount.

 

Swap is a problem for trades, some brokers have very high swap rates and it eats into profitability.

You right my bad i quit using SQ3 until SQ4 comes out so i forgot about that SQ3 is using commissions at the symbol setup tab 🙂

how ever leverage/margin/swaps are NOT calculated.

I’ve stopped using SQ3 too. I’m up against its limitations.

 

Realistically a stable and useable SQ4 is still many months away, so I’m doing other things now.

mikeyc

Come join our Skype group i would like to hear what you up to :),

https://strategyquant.com/forum/topic/4914-opened-a-skype-group-so-we-can-chat-realtime-without-spamming-the-forum-too-much-hehe-would-be-cool-jump-in/