Backtesting
Backtesting means running a strategy over historical data to see how it would have performed. It is useful for discarding ideas that never worked, but a good past result guarantees nothing: the main risk is fitting the strategy so tightly to history that it stops working outside it. Backtest results are simulated, never actual returns.
See also
See it on real data
Celsmar computes this from the accounts companies file with their regulator, and shows which line every figure comes from. Free to start, no card.
Definition for informational purposes. It is not financial advice nor a recommendation to buy or sell.