Curve fitting, also called over-optimisation, is the result of tuning rules so closely to one historical period that they describe its noise rather than any repeatable behaviour. The tell-tale sign is a test that performs strongly in the data it was tuned on and weakly in data it was not. Curve-fitted settings make a strategy look impressive in a report and fragile in use.
Forex glossary
Curve Fitting
Related term
Parameter Optimisation
Optimisation means searching through combinations of settings to find the ones that produced the best result on a particular historical period. The danger is th…
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