Esig Back Testing

[walton]

Hi,

I have been doing some research on esignals back testing facilities, there are a number of back tests you provide, However for example the Stochastic and the moving averages back test each to seem have one fundamental floor.

In each case when the indicator changes form a buy to a sell signal it seems assume buying on the open of the day the signal is generated ie before the signal is generated.

Can you pls clarify this for me,

Regards

W

[ACM]

Walton
That is a known error in the code of some of the efs and can be easily and quickly fixed by opening the efs with the Editor and changing the following in Lines 16 and 21.
Substitute Strategy.MARKET with Strategy.CLOSE or substitute Strategy.THISBAR with Strategy.NEXTBAR.
In the first case you will be using the Close of the bar that generates the signal, in the second you will be using the Open of the bar that follows the one that generates the signal.
Alex

[wombat953]

Alex
Should not these erroneous samples be fixed? It has been several releases since this was uncovered, and this is very misleading, especially to new users. it can (and does) cause people to belive they have a system that performs much better than is the case, especially since the teminology of BUY MARKET really means BUY at OPEN, a highly unorthodox usage.
George

[ACM]

George
The reply to your question will have to come from someone at eSignal.
All I do is suggest the solution when someone brings up the issue.
Alex

[walton]

Thank you Alex, I will edit them.

George, I have emailed esignal and they have told me it will be fixed for the next edition.

Thanks

W

[walton]

Hi Alex,

I have put in the instructions you posted and it is working, I just have another question for you.

In the stochastic back test, I would like to put in a instruction to close out the position at a certain time for example:

If the stochastic has a sell signal (Over Bought) and the position is short, I would like to close out the position when it goes below 50, And vice versa for long.

Is this possible and if so could you help me with it?

W

[ACM]

Walton
I think the attached revision of the efs does what you asked.
If Long it will Sell if the Stochastic goes above 50 and if Short it will Cover if Stochastic goes below 50.
Alex

[walton]

Thanks Alex,

Exactly what I wanted.

I am also trying to build one so it will cover when there is a higher high in the fast stochastic or the signal reverses.

Is this possible?

W

[ACM]

Walton
Should be possible (not in Formula Wizard though). As a matter of fact I think David Loomis posted something along those lines albeit using a different indicator in this thread.
Alex