Get a tighter handle on risk-reward

Find out how visualizing the distribution of returns for a hypothesis can help you assess the risk of your next trade idea.

Analyze
Quantify the volatility of future returns

Profit Table

Generate return data

Run a backtest of your chosen trading signals

The app will generate probability distributions that make it easy to compare whether the signals from your backtest produce historical returns that differ from the returns of normal market data

Distribution of Returns

Observe curve shape

Identify whether the data points plotted in the histogram resemble a specific type of distribution

Plot returns of the underlying based on the historical signal data derived from your backtest
Clearly see whether the distribution of backtested returns exhibits qualities like skewness

Probability Distributions

Compare return distributions

Compare the probability distribution of the signal data to the probability distribution of all the data

Compare the returns of your backtest signals to the returns of all the data in order to identify differences in return profiles and volatility
The green histogram displays the frequency at which the entire data set produces returns of a given size during the backtest simulation