H-system Squashed?

I decided this weekend that backtesting with 1-minute data just wasn't
accurate enough for backtesting daytrading strategies so I went out to
Gain Capital's site, http://ratedata.gaincapital.com
and grabbed 5 years worth of tic data for the GBP/USD.  It took hours
upon hours of grabbing the CSV data, inserting into the database and
then modifying my backtesting scripts but tic data is going to give me
the most accurate results possible. 

Unfortunately the results obtained were disappointing and the H-system
failed to show anything but a tiny profit over the last 5 years.  This
pretty much throws a huge wrench into the only strategy I've been using
over the last month or so.  I don't know how others feel about this but should I be making a decision to shut
this system down?  It has been profitable since I started trading it but based on the backtesting results, this would be nothing but a waste of time to trade.  I know that past results don't always translate into future results but the whole point of backtesting is to find a system that has past results that are favorable.  This would mean going back to the drawing board.  If anything, the results instill less confidence and trust in me and this alone can create problems when trading.  The most disconcerting thing about all of this is the confusion that it causes and the feeling that I have to start over again.  I guess this is all part of trading which isn't supposed to be easy.  I don't always ask for advice explicitely, but I sure could use some on this one….

Popularity: 2% [?]

H-system Squashed

I decided this weekend that backtesting with 1-minute data just wasn't accurate enough for backtesting daytrading strategies so I went out to Gain Capital's site, http://ratedata.gaincapital.com and grabbed 5 years worth of tic data for the GBP/USD.  It took hours upon hours of grabbing the CSV data, inserting into the database and then modifying my backtesting scripts but tic data is going to give me the most accurate results possible. 

Unfortunately the results obtained were disappointing and the H-system failed to show anything but a tiny profit over the last 5 years.  This pretty much throws a huge wrench into the only strategy I've been using over the last month or so.  I don't think I have any choice but to shut this system down.  This means that I'm back to the drawing board.  I will continue to see if there is anyway I can optimize this system to get better results but that will take some time.  

Popularity: 1% [?]