🚀 **How I Backtest Strategies on TradingView & Set Them to AUTOTRADE**
Transcript
Auto-generated from the video audio — expect imperfect punctuation.
What’s going on guys? So, a couple people have asked me how I create these strategies, how I backtest, make them profitable. I’m going to run through with that all right now. If you don’t have ideas on how to create the initial strategy, um I have a bunch listed on my website. You just go covtrader.com/freeindicators and I have all these indicators and everything on here. You just request access. Today, I’m going to use this one, which is the new week opening gap
And new day opening gap strategy. Um I already I’m going to put it up on on here. So, it’s just kind of a brand new one. So, first of all, I I come up with these strategies. Before I even get into it, I stream live every single day. Subscribe below. Come on the live stream. Ask questions. If you have any questions about this, um that’s the best place to to ask. Also, I’ll put a link to our free Discord in the
Description of the video. All right. So, pretty much I play around with the settings. A lot of these strategies that I create do not have a ton of settings because if you have I don’t know, 30 different settings, you’re never going to be able to optimize it. So, when I create these, I create it kind of with minimal stuff. I also try to break things down by time of day. So, what I have for, you know, 9:30 till noon will be
Different than what I have from noon to 4:00. And then I have a I never trade 6:00 p.m. to 8:00 p.m. because that’s the worst time to trade. And then from 8:00 p.m. to noon, uh not noon to midnight, I have settings and then from 12:00 to 5:00 in the morning I have different settings. So, that’s how I kind of break up uh when I’m testing. So, also we’re at trade new week opening gap, new day opening gap. So, you kind
Of only want to do one at a time, right? New day happens more often, so we’re going to do that. So, I just typically start like this. I’ll start on the 5-minute, and then I’ll test on the three and the one to see how things are going. And it’s super simple. I mean, a lot of it is just kind of um playing around, you know? I kind of know what I like to see. You know, the the trigger levels at the
Top here, and I just kind of play around with what I what I want to kind of do, I guess. And then, I just look at the profit factor and everything else. Let’s see if I change this. Okay. And now, I’m just looking back and forth, and that’s pretty much trades per day. You got to remember, if like for new week opening gap or new day opening gap, you’re kind of playing the first touch, right? So, we’re going to take that
Off. And then, right off the bat, we got we got something really good here. Um Let me see if I reduce this. That’s even better. Um I’ll turn my stop loss down a little bit. Okay. Uh shh. And then, sometimes what I’ll do is actually split it up based on longs or shorts just to see if there’s a drastic you know, like that’s pretty good right there. I mean, that’s amazing. So then, I will just be like, “Okay. So now, I’ll
Back it up, and I’ll go Let’s just go for the year. You got to remember the markets that we were in. See, that’s All right, so this is going to bring bring you back to something. Something like this I probably wouldn’t do. All right. Um Yeah, the last 90 days were amazing and some strategies I do go off the last 90 days, but something like this is not what I want personally. Um So then I’ll probably go back. Let me see
What it is with the longs. We’ll update. Okay. So now this kind of flattened out. Something like this I would run. Now let me just back it a couple more months and see what happens. So if you look All right, now this is going to be this is like the sauce to me. All right. So you’re up here anyways, right? It’s kind of trending up, right? Um this is a whole different market. Like where we were in the beginning of 2026
Is not where we are now. I would probably run this. Um I would probably run this. And if my drawdown went further down than 4,000 bucks from here without making it a higher like P&L, then I’d probably be out on this. Um I I do like playing this. Um there’s are certain things that you know, obviously are Let’s see. I’m just What if I back it up even further? I’m just curious what happens here. Yeah, so like you know, I’ll look
Then like where were we in, you know, December, right? So, I know this seems kind of monotonous, but these are things that you look for to get a quality strategy. So, I’ll go back and be like, all right, we were only at Well, we were at 26,000, right? And you were in a market that kind of just dumped. So, from the beginning of 2026 to the basically March, the we just kind of dumped. Right? And then you have an uptrending market.
So, then I would look at March to June to see how it performed then, and then basically beginning of June till now, right? So, we’ll go back to the 5-minute. Beginning of June till now, see, beginning of June till now in this choppy market, we’ve been kind of making money. I’ll be honest with you, even when we dump dumped, it kind of made money. You know, this is probably something that I would run. It seems like it feeds off volatility. And
Then what you could do is you can just kind of change like any strategy that works until it doesn’t. I would probably just play with the TPs. Um and and go from there. That’s probably what I would do. And then you can kind of do this like, hey, some of them are like, hey, once we hit 2:00, don’t trade this anymore. That’s really not the case here, but some of them are. All right? And then what I do, what I’ll do,
Let’s just go to 3:00. I just want to see if anything works here. See, it doesn’t really change it. Some of the strategies will change drastically um when you cut it off at 2:00 or when you cut it off at 3:00 it cuz maybe that last hour will trigger awful trades. Um so another thing you got to think about is how you want to auto trade this. So a couple things you could do. So you go to settings. Well, not settings.
You go to add alert. And now you need a a webhook. I use crosstrade.io. It’s like 20 bucks a month. Or and then you know, you basically do that. And then you add in the message you’ll add um you know, uh a thing that they give you. And basically what happens is you’ll you’ll be able to auto trade this. Now if you’re not looking to auto trade it, you can still set up an alert, add an alert, you know, and then
You’ll just kind of notifications and you just kind of play a sound. And you don’t even need a webhook. So you’ll just play a sound. And then that’s it. And it will just play a sound when, you know, it’s time to get in, get out, and things like that. And then they kind of pop up off to the side and alerts. Um you can alert it to your browser. I believe you can set it to your phone if you have the
TradingView app. And you know, right there is kind of what I do is just it’s kind of a feel thing cuz I look at what the chart looks like as I’m making changes. You know, cuz you’ll look at some strategies and they’ll jump up quick and then they kind of just go back and forth for like 3 months. And that’s it. And I’m kind of like, yeah, that strategy produced a great return if you were in it during that one little
Time, but you know, it’s not really doing anything now. So, I’m probably not going to play it. So, I kind of want to see the P&L chart. You know, something like this. Uh it definitely looks good because you can kind of see the trend is going up. Now, don’t get me wrong. Can you sit in this for 4 months and it not make any money? Yes. Um but, you know, if you if you go from pretty much beginning of April, it’s
It’s obviously hitting right now. And I have a couple strategies like this that were kind of very slow P&Ls to the upside and then all of a sudden within the last I don’t 90 days, 120 days, have really started to hockey stick up. I’m working on something right now that looks like this. Obviously, this one looks a little bit better. But, um you know, you could see how it I like this is amazing. It’s going up up up up. And now
You’re just grinding up, just making money. Like this is a freaking home run. Um you know, but this isn’t terrible either. Would I put this in? Probably. What I don’t like is obviously this drawdown. So, I I would want to see that drawdown happen, you know, over there. Let me see the last 90 days. You know, I would kind of play with the settings to see if I can reduce this max drawdown. Maybe the TP is just too much, right? Maybe
I got to go to you know, that really doesn’t affect things. You know, that that didn’t change at all. So then I’ll be like, “Okay. Let’s update it right there.” You know, I don’t know what happened here. And then sometimes I’ll go back to that day and that might be a like hold overnight or something like that. You know, you know, like you got to look to see what caused that. Cuz sometimes it’s glitches. And this just might be a glitch
Of a day. So, what is that? Monday the 17th and Wednesday. Let’s see. Let’s just go back. Can I go back? I don’t even know if I can go back. The 17th. So, if you look we got in, we got out, we lost, right? But see, it shouldn’t produce How I know what happened because we’re on a 5-minute chart. It actually didn’t exit until the candle closed. So, what happened was you were actually 20-something points. Oh, man. You were actually in
The green. But this doesn’t close until the candle closes. And then something happened that created a 9:30. I mean, that’s a 180-point drop, ish. Um there had to be news, right? So, news caused this. So, then when I look at the when I look at this I’d probably say that this doesn’t exist, this drop. Because that that’s a new a freak news candle that if you’re manually trading this, you’re probably out. You probably put a stop and got out of that.
You weren’t going to hold down over 100 points. You know, especially if your stop here is 15. Now, because you’re on the 5-minute chart, it doesn’t exit until the candle closes, which can be good, it could be bad. So, you know, and that’s why you got to play around with, you know, some of the other settings. But, that’s pretty much how I do it, and then that’s how I auto trade it. If you have any questions, um just let me know.
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