Skip to main content

Understand the details

Why It Matters

Spread

The difference between bid and ask prices affects every trade. Including spread in backtesting ensures that entries and exits reflect real execution prices.

Commission

Brokers charge a fee per trade, impacting net profits. Factoring this in prevents overestimating potential returns.

Swap (Overnight Fees)

Holding positions overnight can incur rollover fees or credits, which affect long-term profitability.

How We Calculate It

We apply spread and commission based on your input, you can check it on your brokers website and use it in our platform.

Spread Calculation

  • It is applied at both entry and exit points based on your input and trade size.

Commission Handling

  • Users can define a commission per lot, per trade (both opening and closing the trade).
  • The commission is deducted from trade results at execution.

Swap Considerations

  • Swap rates are applied based on position holding time.
  • Only negative swap is are factored in, as most of the Prop Companies have only negative swap and as well it is a more realistic situation (if your strategy is profitable with only negative swap it has even more chance of making profit with positive).
  • We did some research and are using one of the highest swaps out there for the same reason mentioned above.

Configure Your Backtests

Our system allows traders to customize these settings for precise simulations. By integrating real-world costs, you can ensure your strategies are not only profitable in theory but also viable in live trading.

Start using spread, commission, and swap in your backtests today and gain a competitive edge in algorithmic trading!