Reading an MT5 Strategy Tester report
The MT5 Strategy Tester replays historical prices through an EA and produces a long report. Most of it is noise. These are the numbers that actually tell you something.
Start with the test settings
Check the modelling mode first. Every tick based on real ticks is the most realistic. A backtest on Open prices only can look much better than reality, especially for strategies that use tight stops.
Also check the period: a test that only covers a few good months proves very little.
The numbers that matter
| Metric | What it means |
|---|---|
| Profit factor | Gross profit ÷ gross loss. Above 1 is profitable; 1.3–2.0 is realistic. Very high values can be a sign of over-fitting. |
| Maximum drawdown | The deepest fall from a peak. Compare it to the risk you can live with. |
| Recovery factor | Net profit ÷ maximum drawdown. Higher means profits came with less pain. |
| Total trades | More trades make the statistics more reliable. A few dozen trades is a small sample. |
What to be careful with
- Over-fitting. Settings tuned perfectly to the past often fail on new data.
- Win rate on its own. 90% wins means little if the 10% of losses are huge.
- Costs. Make sure spread and commission are realistic for your broker.
A backtest is a starting point. A forward test on demo or a small live account is the real check.
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Every EA includes installation on your VPS.
Educational content, not investment advice. Trading carries a high level of risk.