One of the most exciting things to come out of the October 2024 release is the ability to combine multiple backtests into one P/L curve and visualize what would happen when trading a confluence of all the strategies working together.
This now gives us more confidence when trading more than one 0DTE and next day positions simultaneously in a single bot or portfolio.
What’s super powerful about this capability is being able to analyze how multiple strategies can combine to create a smoother equity curve that is greater than the sum of its parts, especially when certain positions don’t perform on their own, but, when combined with other concurrent position types, produce a profitable portfolio of strategies.
For example, we can quickly combine and view four 0DTE strategies trading different positions together each day. Interestingly, three of the strategies are profitable, while one is a small loser. Individually, the best strategy has a net profit of $34,540.Â
However, when putting them all together, they have a combined P/L of nearly $45,000! Plus, they all “zig and zag” at different times throughout the backtest’s history; while some perform well, others don’t and vice versa.
Once we click the button and combine the results of the four strategies together, we can see the combined P/L curve if we traded the positions in a portfolio. We can use this new capability to test multiple variations, quickly modify or remove backtests, and increase our confidence when trading a portfolio of multiple 0DTE and next day strategies with proven results.
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