# Backtesting

Testing a strategy on historical data. Done honestly (with slippage, fees, and funding) it earns the right to paper-trade, not the right to go live.

- In depth: Backtest, then deploy without lying to yourself (https://tradingagent.dev/#guide-backtest)

A close-price backtest assumes you traded at the closing price with no slippage and no queue, which flatters almost any strategy. A trustworthy test crosses the spread, charges fees, and applies funding over the holding period.

Most frameworks here backtest, including [[freqtrade|Freqtrade]], [[nautilus-trader|NautilusTrader]], and [[superior-trade|Superior Trade]]. A clean backtest is the start of the process, not the end.

## Related

- [[superior-trade]] (/wiki/superior-trade.md)
- [[freqtrade]] (/wiki/freqtrade.md)
- [[nautilus-trader]] (/wiki/nautilus-trader.md)
- [[composer]] (/wiki/composer.md)

## Linked from

- [[alpaca-mcp]] (/wiki/alpaca-mcp.md)
- [[composer]] (/wiki/composer.md)
- [[freqtrade]] (/wiki/freqtrade.md)
- [[hkuds-ai-trader]] (/wiki/hkuds-ai-trader.md)
- [[kraken-cli]] (/wiki/kraken-cli.md)
- [[nautilus-trader]] (/wiki/nautilus-trader.md)
- [[superior-trade]] (/wiki/superior-trade.md)
- [[tradingagents]] (/wiki/tradingagents.md)

## Categories

Concepts

## References

- Freqtrade: backtesting docs: https://www.freqtrade.io/en/stable/backtesting/