amarchaparala
Hello my friend,
Here is the backtest result we’ve conducted, based on a single fixed Stop/Target level. During the backtest process, we were unable to adjust the Stop/Target dynamically according to market conditions - something you absolutely can do in real trading. In live trading, you can apply strategies like trailing stops or dynamic risk management, which may help increase the win rate and reduce overall risk.
Additionally, this backtest was done with the core principle of the indicator in mind: Reward is prioritized over Risk. That means when we set a higher Reward compared to Risk, we naturally accept a lower win rate. This is completely normal during backtesting, as a higher Reward level means price is more likely to hit the Stop.
In short, when you aim for higher Reward, you trade off a lower win rate - and vice versa. Understanding this trade-off is key when evaluating the effectiveness of any trading strategy.