How To: Include Commission Cost During Back Test {tickstory}

Many of you may know this but I am guessing there are some out there like me who also are unaware of how to get your back test report results to factor in commission. The steps are outlined below.

Download your data using Tick Story
Export the Data to MT4 in whatever manner you like, Whatever you choose should download and export it into the FXT format that MT4 needs
Once the FXT has been created, use Tick Story, and go to "Tools > MT4 Data Editor"
Click the "Open FXT" button and browse to your MT4 Data folder, locating the "Tester\History" folder. NOTE: This will be stored in a path such as the following by default "C:\Users\YourName\AppData\Roaming\MetaQuotes\Term inal\BB190E062770E27C3E79391AB0D1A117\tester\histo ry"
Select the FXT file for the pair you wish to enter commission for.

Enter the correct commission for a round trip trade. In the image you see my round trip cost for 1 standard lot is listed as "Base Comm = 8". This would equate to an $8.00 trade cost

Enter the correct "Comm Type" with Money = 0, Pips =1, or Percent =2 depending on your brokers commission type.

Enter the correct "Comm Lots" value. Commission per lot = 0 or Commission per deal = 1

Click the "Save" button once these changes have been made
You will need to perform these steps for each pair you plan to test, however, the settings should be mostly the same for the major pairs unless you switch brokers. Also note that you will need to reset these values any time you download new data and create a new FXT file. Once they are set, they should stay until that FXT file is overwritten.

How do you tell if it worked? Simple. Run a back test, and take note of the value displayed on the graph. Then hop over to the report tab and you will see your profit number is considerably lower depending on your commission cost.

You can also set a fixed spread (useful in worst case average scenario testing, I set mine at 5 which equates to a 0.5 pip spread). Anyway, hope this helps someone like me from having to do all the digging to figure out exactly how to make sure my back tests were factoring in commission.

...and for those that do not use TickStory?

I download my history from histdata.com. My broker is IC Markets which charge $7/RTL.

Can I simply increase spread by a pip or two to account for broker commissions? Would this suffice?

Tried your stuff, doesn't work.
Indeed FXT files get overwritten when you push the backtesting "start" button...so there is no way to keep your comissions in the file during your backtesting.
Did I miss something ?

I write it into the Expert Advisor but I've never checked to see if it's working. I'm pretty sure the swap works.

///////////////////////////////////////// check closed orders for profit ///////////////////////////////////////////
double closedProfit=0;
TotalProfit=0;
{
int total = OrdersHistoryTotal();
for(int i=0;i<total;i++)
{
OrderSelect(i, SELECT_BY_POS, MODE_HISTORY );
if ( OrderSymbol() == Symbol() && OrderMagicNumber() == Magic )
{
closedProfit = closedProfit + OrderProfit() + OrderCommission() + OrderSwap();
}
}
}

This is assuming you have access to the code.

Set FXT file attribute "read only", so it will not be overwritten.

Is working good I've checked


Attachment g

Let me do a FULL try and get back to you.
What I have noticed anyway is that when you click start, the FXT file timestamp changes...so it is overwritten in some way but maybe the comission part stays untouched...I'll check now.

Ok I'm positive, it does not work on my side.
Can you please detail the exact steps you follow from here ?
"Click the "Save" button once these changes have been made"

Doesn't the timestamp of your FXT file change when you click "start" ?
Thanks.

Set "Base Commission" to value greater than 0 and Click the "Save" button or you can set "Base Comission" while exporting tick data to fxt file.

That's what I did guy ! What I'd like to know is what you exactly do after the "save" step.

Make sure you have checked attribute "readonly" on your fxt file before you click "Start" button in strategy tester.

Did not think about that;
That could do the trick.
Will keep you posted.

Alleluia it's working.
Thanks a thousand times folks !

Glad that is working also for you