Your strategy isn’t working.
Your backtest lied to you.
Before putting money into a strategy, run it through an AI agent with these 7 rules:
1. Turn on commissions and slippage. Without them, every backtest looks profitable.
2. Optimize on 2/3 of the historical data and validate on the final third. If it only works on the data you optimized it on, it’s overfit.
3. At least 100 trades. With 15 trades, you’re just lucky.
4. Maximum drawdown of 20%. If it wipes out your account before it makes money, it’s no good.
5. Profit factor above 1.1. Below that, the market will eat you alive.
6. It has to beat buy and hold. If not, you’re better off buying and sleeping easy.
7. 3 months of forward testing with no money on the line. That’s where most strategies die.
AI can build and test hundreds of strategies while you work.
But you’re the one who sets the rules.
Here’s the prompt:
Your backtest lied to you.
Before putting money into a strategy, run it through an AI agent with these 7 rules:
1. Turn on commissions and slippage. Without them, every backtest looks profitable.
2. Optimize on 2/3 of the historical data and validate on the final third. If it only works on the data you optimized it on, it’s overfit.
3. At least 100 trades. With 15 trades, you’re just lucky.
4. Maximum drawdown of 20%. If it wipes out your account before it makes money, it’s no good.
5. Profit factor above 1.1. Below that, the market will eat you alive.
6. It has to beat buy and hold. If not, you’re better off buying and sleeping easy.
7. 3 months of forward testing with no money on the line. That’s where most strategies die.
AI can build and test hundreds of strategies while you work.
But you’re the one who sets the rules.
Here’s the prompt:
