Options Backtesting Software

Whit Armstrong also provided an R package for this, although I don't know how complete it is. BacktestingXL Pro is an add-in for building and testing your trading strategies in Microsoft Excel and And if it crashes again, I dunno if I got the strength to carry on - all by myself. The process is very painful and manual. I ran a first series of tests with reasonable results, entered a first real trade based on them and so far it's OK. The one you mentioned costs money. Aug 15, 4:

Backtest even the most complex stock and options strategies without any programming knowledge, from buying calls to selling unbalanced iron condors. Visual Risk Graphs Optimize your trading strategies with powerful analytics, interactive portfolio risk graphs, and advanced charting of stocks and studies.

Breaking Down 'Backtesting'

Not sure but doesnt seem you can test custom strategies with it; only canned technical studies based ones. Maybe its possible if you write scala code but its not obvious that its possible. Well, I've written a backtesting software of my own and I'm looking to expand it now into an automated trading platform.

I've purchased one year of options data from https: For trading, I'm using Interactive Brokers. So far I'm in read-only mode, getting marketdata automatically in my program but don't dare send orders automatically yet.

I also got a business plan, but in the first phase I'll trade by myself and so have to do my possible partners. Got a new idea and have to ask you what you think of it In short, I'm thinking of open-sourcing my backtesting software. I ran a first series of tests with reasonable results, entered a first real trade based on them and so far it's OK.

And I realized I gotta change the algo a bit, I feel this will get better results. Based on previous experience, this might be just the point where the rocket really takes off or it might crash again. And if it crashes again, I dunno if I got the strength to carry on - all by myself. It would be really useful to have others to talk about models, architecture, help with implementation. But the only way I feel I could get enough people interested would be to open-source the stuff, which to a large degree would render it useless.

Or so I thought, until I got this new idea: Then, people can just go on and do their private implementation or contribute to the open source project.

For instance, one software limitation I've got currently is that the stuff only runs on a single PC, so even on a core i7 with 8 threads it takes a lot of time for the backtests to complete. Discussing the models would take some math knowledge: Black-Scholes model, delta-hedging, delta-gamma hedging, an other explanation for the volatility smile So what do you think?

You must log in or sign up to reply here. Your name or email address: Do you already have an account? Originally Posted by JamieLarin. Jun 26, , 2: Ok, I spent some time on this topic and it looks like I should learn more about options trading, especially about credit spreads. Does not look easy TOS platform looks very good but super complex, I went through this video and still wrking on replicating details: I also found a demo of another tool which seems a bit easier to understand backtesting but very few strategies there Thanks WklyOptions, I totally agree about precision-based trading, I also need to start trading soon and analyse my positions.

Could someone recommend a good fundamentals analysis tool? I think fundamentals are as important as technicals for continuous trading. Last edited by JamieLarin; Jun 27, at 1: Jun 27, , Jul 15, , 2: Originally Posted by WklyOptions. Does not look easy TOS platform looks very good but super complex, Thanks everyone! Last edited by lloydbee; Jul 15, at 2: Thread Tools Show Printable Version. Search this Thread Advanced Search. Backtesting Stock Option strategies Hello, I am a bit new to options trading and I have a few ideas how to start my trading.

Originally Posted by JamieLarin Hello, I am a bit new to options trading and I have a few ideas how to start my trading. Originally Posted by JamieLarin Could someone recommend a good fundamentals analysis tool? Originally Posted by JamieLarin Ok, I spent some time on this topic and it looks like I should learn more about options trading, especially about credit spreads. May 4,

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Unlike backtesting stocks or futures, backtesting multi-legged option spreads does have its unique challenges. One way to backtest your options strategies is to download historical option data (Market Data Express) and use a . Backtesting allows a trader to simulate a trading strategy using historical data to generate results and analyze risk and profitability before risking any actual capital. A well-conducted backtest that yields positive results assures traders that the strategy is fundamentally sound and is likely to yield profits when implemented in reality. Oct 05,  · I am looking for a high quality options backtesting software that is able to backtest not only P/L, but also Greeks and draw historical options payoff charts. I am currently using PaperMoney from ThinkOrSwim which is ok, but one can only backtest P/L in there and not Greeks.