Hi! A short story as an intro - When I was about 12 years old, I went panning for Gold. I was looking for Nuggets the size of a needle pin head... It wasn't until someone showed me how to pan for Gold and that the specs you find are about 1/20th the size that I started to actually FIND Gold.
Now - how does that apply to Trading Systems/Strategies?
When dev systems I find myself in the same predicament - I don't actually know what I am looking for.
I develop ideas, test them, analyse, refine but I actually don't know what a "good" system looks like. I could have developed a dozen of great systems already without even knowing it.
So, which results would YOU like to see in your back-testing before you proceed and test that system properly in sim/live?
Two parts to the question I guess:
a) What do you look at - i.e. profit factor, sharp ratio, net profit, win/loss ratio, etc. and
b) What size do those parameters take (e.g. a profit factor > 1.2)