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Interpreting WFO WalkForward Optimization results

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    Interpreting WFO WalkForward Optimization results

    How do I interpret the WFO results?
    Referring to the attachment which shows WFO of a SimpleMAcrossover strategy.
    The first panel shows the two period tested, the other two panels each period results.
    Referring to the first period I see ($4655) loss with the two SMA parameters of 71 & 124​
    Second line shows same parameters but a net Gain of $52K.
    My question is, am I going to be rich so easily? (Just joking)
    What does it mean the first line vs the second? What is their relation. They show the same parameters.
    Thank you for the explanation.
    G

    #2
    Hello giogio1,

    Thank you for your post.

    I am not seeing a screenshot or attachment to this post, do you mind reposting it?

    I also recommend checking out this Help Guide page on interpreting WFO results, which may be of use to you:

    Comment


      #3
      Thank you. Here it is
      Attached Files

      Comment


        #4
        Hello,

        Which lines are you referring to in specific? There are three windows here, only 1 is a walk forward optimization and the other two are backtests.

        Comment


          #5
          I placed the comment on the picture, underlining the two lines with the same parameters but different results.
          What's the meaning of each of these two lines?
          Thank you
          G
          Attached Files

          Comment


            #6
            Hello,

            Likely the difference is the end date, which isn't included in the screenshot. What is the End date for these two results? Make sure the End date check box is enabled for the Results area.

            Comment

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