Backtesting vs Trend Following System

Quick comparison to help you distinguish these two crypto terms.

Backtesting
advanced
strategy

Backtesting is the process of running a trading strategy's logic against historical price data to produce a statistical performance estimate before committing any real capital to live deployment.

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Trend Following System
intermediate
strategy

A rule-based trading system that identifies an established directional price trend and enters positions in that direction, holding until objective exit conditions signal trend exhaustion or reversal.

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