It's tempting to treat a crypto or gold strategy the same way you'd treat an NSE one — same metrics, same mental model, just a different ticker. In practice the two markets trade differently enough that the backtest engine models them differently too.
Momentum IQ's crypto and forex engine is built specifically around how BTC/USD and XAU/USD actually trade — not adapted from the NSE engine.
Step 1 — Choose Your Instrument
| Instrument | Market hours | Position sizing |
|---|---|---|
| BTC/USD | 24/7 — no close, no weekend gap | In coins |
| XAU/USD (Gold) | Forex session hours — closed Fri 22:00 UTC to Sun 22:00 UTC | Lot-based |
Step 2 — Pick a Timeframe
| Timeframe | Real history available |
|---|---|
| 5-minute / 15-minute | ~6 months |
| 30-minute / 1-hour / 4-hour / Daily | ~2 years |
Step 3 — Set Leverage and Understand the Cost Model
Two things make crypto/forex backtesting fundamentally different from NSE cost modelling:
- Leverage simulation — choose anywhere from 1:1 up to 1:500. Position sizing and risk scale with the leverage you select.
- Spread instead of brokerage — costs are modelled as a spread in pips, matching how crypto/forex brokers actually price trades, rather than an NSE-style brokerage percentage or STT slab.
Capital, P&L, and position sizing are all denominated in US Dollars, matched to how BTC and gold are quoted and traded.
Step 4 — Run the Backtest
The engine replays the historical data respecting each instrument's real market hours: Bitcoin never pauses, so trades can trigger at any hour of any day; Gold respects the weekend close, so no phantom trades get generated when the market is shut. Leverage and spread costs are applied on every simulated trade.
Step 5 — Read the Report
The report format matches NSE backtests, so results are comparable across markets:
- Total return, CAGR, win rate, max drawdown, Sharpe ratio, and profit factor
- A complete trade log — entry/exit price, date, P&L, and exit reason
- An equity curve tracking capital over the test period
- An AI-generated plain-language summary of what happened and why
How This Differs From NSE Backtesting
| Factor | NSE | Crypto / Gold |
|---|---|---|
| Currency | INR | USD |
| Cost model | Brokerage, STT, exchange charges | Spread (pips) + leverage |
| Market hours | Exchange session only | BTC: 24/7 · Gold: forex session |
| History depth | Years of daily data | ~6 months (low TF) to ~2 years (higher TF) |
Frequently Asked Questions
Which instruments can I backtest?
Currently Bitcoin (BTC/USD) and Gold (XAU/USD), with more instruments planned.
What timeframes are available?
5-minute, 15-minute, 30-minute, 1-hour, 4-hour, and Daily — matched to how much historical data is actually available at each granularity.
Does it simulate leverage and spread?
Yes — leverage selection and spread-cost simulation are built into the position sizing and cost model.
Is this investment advice?
No. Momentum IQ is an educational research and backtesting tool. All results are hypothetical and based on historical data — past performance does not indicate future results. Please consult a SEBI-registered investment advisor before making investment decisions.
