Liquid Edge · Automated trading

How to backtest a trading strategy

Put your trading on autopilot with Liquid Edge's non custodial execution layer, built to run your strategy 24/7. Access institutional grade automation without ever transferring your funds to us.

Start using Liquid Edge

Enter your email in the box below to get started.

Execution only · never withdrawal rights · disconnect anytime

How to backtest a trading strategy

Testing discipline

Backtests become a disciplined engineering workflow.

You clean and stitch data by hand and still find gaps when a live trade fails. You assume fills and zero slippage in spreadsheets, then face partial fills and order contention in the market. You tune many parameters until historical results look perfect, but that overfitting hides real risks. You lack a repeatable process that separates data hygiene, execution assumptions, and stress testing before going live.

Runs a vetted strategy as an automated bot on the exchange account you already hold via Liquid Edge.

  • Run vetted strategies as botsDeploy a strategy that places and manages orders on your exchange account using that exchange's API keys; Liquid Edge executes the order logic and handles ongoing order lifecycle actions automatically.
  • Keep cross exchange executionConnect the exchange accounts you already hold and run a deployed bot continuously across supported exchanges so the strategy executes without moving funds.
  • We never get withdrawal rights. Anywhere.On a perp DEX your funds sit in an isolated onchain vault only you can withdraw from. On a centralized exchange the exchange custodies them and we connect with API permissions limited to trading. Neither route lets Liquid Edge move your capital.

Want to get started? Walk through setup, covering everything from connecting an exchange to launching your first bot. Or read Common Backtesting Mistakes That Ruin Live Results for more on this.

Read the full FAQ

Frequently asked questions

Can I run more than one bot at a time?

Yes, and most people do. Plan limits govern how many live deployments and API keys you get; paper trading is unlimited on the paid plans so you can test several ideas alongside whatever is running live.

What happens if I revoke access?

Trading stops. On a centralized exchange, deleting the API key cuts the connection immediately; on a perp DEX you revoke the permission from your wallet and the chain enforces it. Any positions already open remain yours to manage on the venue.

How does risk management work?

You set the limits once and the engine enforces them: position sizing, per-trade stops, maximum exposure and a kill switch. The point is that the limits hold at three in the morning, when discipline is hardest to apply by hand.

What is the difference between monthly and yearly billing?

The same plan, charged annually instead of monthly, at 25% less. The pricing table defaults to yearly and shows what that works out to per month, with the standard monthly price struck through beside it.

Can I try the platform before paying anything?

Yes. The free plan includes paper trading, Strategy Studio demo access and five paper bot deployments, which is enough to build a strategy, test it and watch it run against live markets before any money is involved.