Thread: Forex Software

Backtesting software is a type of forex software that is based on actual movements in the prices of a number of currencies over time. Such a tool is highly useful to the novice trader. For example, someone who has studied foreign exchange may have an idea for a trading strategy, and will want to see if it works in the real world before risking real money by implementing it. Backtesting software allows the trader to track how his strategy would have performed under real world conditions in the past. This can either confirm the validity of a strategy, or show that it does not tend to work in the real world.

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