How to Test AI Trading Bots Before Investing Real Money (Save Your Capital!) $BNB $PAXG
Here’s a profitable-style, high-engagement post you can use:
1. Start with Back testing: Run the bot on historical market data — if it fails the past, it won’t survive the future.
2. Paper Trade First:Simulate trades with fake money to see real-time behaviour without real risk
3. Test Multiple Market Conditions Bull, bear, sideways — a good bot adapts, not collapses
4. Check Drawdowns, Not Just Profits Big gains mean nothing if losses wipe you out.
5. Verify Risk Management Rules Stop-loss, position sizing, max exposure — non-negotiable.
6. Avoid Curve-Fitted Strategies If it looks “too perfect,” it probably.
7. Stress Test with Small Capital Go live with minimal funds before scaling up.
8. Monitor Consistency, Not One-Time Wins Profitable bots win over time, not in one lucky run.
9. Understand the Strategy Logic If you don’t know how it makes money, don’t trust it.
10. Track Performance Like a Pro Use metrics: Sharpe ratio, win rate, max drawdown.