Absolute vs. percentage price change in backtesting | Traders Hideout


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Absolute vs. percentage price change in backtesting

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Switzerland
 
Trading Experience: Intermediate
Platform: Multicharts
Broker/Data: IB
Favorite Futures: CC
 
Posts: 25 since Jul 2017
Thanks: 9 given, 2 received

Absolute vs. percentage price change in backtesting

Hi all,

I trying to develop a breakout strategy with a breakout of yesterday´s High/Low + an additional value.

Now, the additional value should I test it with a absolute price change in Ticks or as a percentage price change?
e.g. Entry Long on Yesterday´s High + "n Ticks" or Entry Long on Yesterday´s High + "n%" ?

I feel insecure when it comes to test price changes on back-adjusted continuous contracts. Which way is more
reliable, absolute or percentage price change?

Thanks!

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