Why Most Backtests Lie — and the 7 Checks That Catch Them

<p>A beautiful backtest is the easiest thing in trading to fake — usually by accident. Here are the seven ways backtests mislead, and the check that catches each one.</p> <p>A backtest is a story about the past, told by someone who already knows how it ends. That is why it lies so well — usually without anyone intending to lie.</p> <p>Every trader has lived the same disappointment: a strategy that

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