In today’s post I’m going to show you how you can get 99% modeling quality when backtesting using MT4’s “Strategy Tester.” If you’re a MT4 backtesting veteran you no doubt know that using regular M1 historic data the highest modeling quality you can get is 90%, but what you may or may not know is that the accuracy of your backtests can be pushed even higher, BUT you need raw tick data.
How does one obtain such tick data? Well, I asked myself that very same question, and I’ve looked everywhere for a free source of historical forex tick data and after extensive searching I found it. The only problem is that the tick data is not readily usable by MT4 and as such requires a rather elaborate process of conversion and also a few other tricks to force MT4 to use the converted tick data. That’s where this tutorial or “how-to” comes in. So pay close attention as you MUST follow each step precisely.
You may be asking yourself why would one want to achieve a higher modeling quality level. The answer has to do with scalping. When backtesting an expert advisor that does not attempt to scalp the market the default MT4 history data provides an acceptably accurate level of simulation. However when you’re trying to backtest a scalping EA even the slightest variation in the price feed can strongly affect performance.
UPDATE: previous content removed. If you want the full tutorial you can find it on the following website:
Happy backtesting everyone!