Backtesting can be an important step in optimizing how you engage with financial markets.
Introduction Backtesting is a tool that you (as a trader or investor) can use when exploring new markets and strategies.
A well-conducted backtest can also provide assurance that the strategy is at least viable when implemented in a real trading environment.
If you know these beforehand, it will be more difficult for the results to affect your biases.
With that said, this is a promising start.
Backtesting alone likely won't create viable trading strategies, but it'll help you test some ideas out and keep your finger on the pulse of the market.

Source - https://academy.binance.com/en/articles/what-is-backtesting?ref=AZTKZ9XS&utm_source=BinanceTwitter&utm_medium=GlobalSocial&utm_campaign=GlobalSocial
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