Back testing

[NickyD]

Hello,

I have thoroughly confused myself trying to understand Tick Replay and Back Testing.

https://ninjatrader.com/support/helpGuides/nt8/en-us/?discrepancies_real-time_vs_bac.htm

Running a Strategy at the Close of a Bar or Tick by Tick
• During backtest, strategies can ONLY be processed at the close of each bar.

Is this statement always true, even if Tick Replay has been enabled and my Indicator and Strategies are set to calculate on each tick?

If so, is this a behavior different between indicators and strategies during back testing? Based off the Tick Replay documentation, I would expect the indicator to be updated on each individual tick replay event.

[NinjaTrader_Jim]

Hello NickyD,

Thanks for opening the thread.

Tick Replay will allow the strategy (or indicator) to process historical data tick by tick.

I understand where confusion could be drawn. I'll request that the documentation gets updated to better reflect this.

If there are further items that would need clarifying between comparing data results between Historical, Realtime, Market Replay, and using Tick Replay, I suggest to check out my colleague Chelsea's thread and videos here: https://ninjatrader.com/support/foru...d.php?t=102504

Please let me know if you have any additional questions.

[NickyD]

Ok, I think it's making more sense now. So my entry and exit triggers will in fact happen on a tick by tick basis, however the order execution engine does not/may not operate tick by tick. Is that right?

That's why Chelsea recommends adding a second 1 tick data series as outlined here?

https://ninjatrader.com/support/forum/showpost.php?p=491297&postcount=2

[NinjaTrader_Jim]

Yes, that would be correct.

For the thread's reference, an example for intra-bar granularity in backtesting can be found here: https://ninjatrader.com/support/foru...ead.php?t=6652