Features Overview

A complete reference of all BacktestLM features and capabilities.

AI Backtesting Engine

Describe any trading strategy in plain English. The AI interprets your description and generates executable code to test it against historical market data. Supports entry/exit rules, position sizing, stop-losses, take-profits, and multi-condition logic.

  • Supports stocks, ETFs, crypto, forex, and options screening
  • All timeframes: 1-minute to monthly
  • Date ranges: user-defined
  • Starting capital: configurable
  • Position sizing: fixed, percent of equity, or ATR-based

Walk-Forward Optimization

Divides your historical dataset into alternating in-sample (IS) and out-of-sample (OOS) windows. Optimizes parameters on each IS window and tests them unchanged on the subsequent OOS window. The final equity curve is composed entirely of OOS performance.

  • Configurable IS/OOS window sizes
  • Automatic parameter selection per cycle
  • Per-cycle Sharpe, drawdown, and return metrics
  • OOS vs. IS performance degradation ratio

Monte Carlo Simulation

Takes the complete list of trades from your backtest and randomly reshuffles their order 1,000+ times. Each simulation produces an equity curve. The distribution of those curves reveals the realistic range of outcomes.

  • 1,000+ simulations by default
  • 5th / 50th / 95th percentile max drawdown
  • Worst-case consecutive losing streaks
  • Probability of ruin at configurable thresholds
  • Return distribution across all simulations

Grid Search Optimization

Tests all combinations of parameter values you specify in a single parallel execution. For example, test RSI periods from 10 to 20 in steps of 2 and RSI thresholds from 25 to 35 in steps of 5 — all at once.

  • Multiple parameter dimensions supported
  • Results ranked by Sharpe Ratio, total return, or profit factor
  • Heatmap visualization of parameter sensitivity
  • Identifies robust parameter regions vs. narrow peaks (overfitting indicator)

Blind Data Testing

The ultimate validation test. You optimize and validate your strategy on one dataset (Dataset A), then run it exactly once on a completely separate dataset (Dataset B) that you have never used for any optimization. The single test on Dataset B is your closest approximation of live performance.

  • Separate Dataset A and Dataset B inputs
  • Parameters locked after Dataset A validation
  • One-run policy — results cannot be used for further optimization

Chart Image Strategy Extraction

Upload or paste a screenshot of a chart (from social media, a YouTube video, or a financial blog). The AI reads the chart, identifies the visible indicators and signals, and converts them into a testable strategy prompt.

  • Supports screenshots from any source
  • Identifies technical indicators, entry/exit signals, and conditions
  • Generates a draft prompt for review before running
  • Additional BTU cost for chart reading

Trade History Upload & Analysis

Import a CSV of your personal trade history (e.g., from a broker export). The AI identifies patterns in your entries and exits, surfaces what worked and what did not, and reconstructs your implicit strategy for further optimization.

  • CSV import from most brokers
  • AI identifies entry/exit patterns
  • Parameter optimization on reconstructed strategy
  • What-if analysis: 'What if I held winners 20% longer?'

AI Screeners

Scan a universe of tickers for current setups matching your criteria. Screeners can be built from scratch, derived automatically from an existing strategy, or based on fundamental data (analyst targets, ratings).

  • Technical screening: any indicator or price condition
  • Fundamental screening: analyst targets, ratings, price-to-earnings
  • Strategy-derived screening: automatically extracts entry conditions
  • Results exportable to backtest for immediate validation

Social Sentiment Data

Incorporate social sentiment signals into your strategy logic. Up to 3 years of historical sentiment data is available for use as a strategy input.

  • 3 years of historical social sentiment
  • Usable as entry/exit conditions
  • Compatible with technical indicator combinations

Strategy Library

Access hundreds of pre-built trading strategies covering equities, crypto, forex, and options setups. Review their logic, load them into your workspace, and customize them.

  • Hundreds of pre-built strategies
  • Organized by asset class and strategy type
  • Fully editable and customizable
  • Immediate backtest execution