How do I backtest on Renko?

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How Do I Backtest the Breakout Rider Strategy on Renko Charts?

TLDR: you can't.

Backtesting the Breakout Rider Strategy on Renko charts is inherently unreliable due to how Renko bricks are calculated and recalculated on TradingView. Here’s why:

1. Renko bricks rely on time‐based bar closes, not tick data

TradingView doesn’t have full historical tick data. Instead, Renko bricks are formed from fixed intervals, such as 1-minute or 30-minute bars, and their closes determine where bricks appear. The lower the timeframe, the more accurate the Renko structure will be. (More info from TradingView here)

2. Recalculation of historical bricks affects the strategy logic

TradingView often resorts to higher-timeframe data when lower-timeframe data is unavailable, leading to the recalculation of historical Renko bricks over time. This means backtests can change retroactively, especially when market data is updated or refreshed. (More info from TradingView here)

3. Entry markers may be misleading due to synthetic open/close points

On Renko charts, trade entries within the Breakout Rider Strategy can be inaccurately shown, such as an entry being plotted at the bottom of a bullish brick instead of the top. This discrepancy arises from how Pine Script handles brick opens/closes and cannot be avoided. (More info on this found here)

4. This issue stems from the platform, not from ENEXSL

TradingView itself warns that Renko charts are synthetic and do not reflect real market prices at precise times. As such, they specifically advise against backtesting Renko charts for strategy accuracy. (More info from TradingView here) 5. Backtesting illusions are common, not just here

This is a platform-wide limitation, not something unique to the Breakout Rider. Unfortunately (even though we would love it!), you're not going to have a strategy make $250,000 in the next 3 months with a drawdown of $15.00

What Should You Do Instead To Reliably Test The Breakout Rider Strategy?

Forward Testing

Forward testing is the only accurate way to understand the real performance of the Breakout Rider Strategy when using Renko charts. This applies whether you are using one of the pre-built automation chart layouts or creating your own.

A good starting point is the automation chart layouts shared in the ENEXSL Discord, under the #automated-chat-layouts channel. These layouts are already being forward-tested by members, who report consistent profitability and verified payouts. Review the available data, load the layouts, and run them in your own account to see how they perform in real-time.

If you want to build your own configuration, test it first on a demo account. Collect data on how it reacts to different market conditions based on the settings you choose. This will give you accurate performance insights and help you refine your approach before committing live capital.

The key point is simple: forward testing in live or demo conditions is the only trustworthy way to evaluate the Breakout Rider Strategy on Renko charts. Historical backtesting will not give you accurate or consistent results.

CrossTrade allows for unlimited simulations

To forward test on a large scale, setting up CrossTrade can be a game-changer. To view how to setup unlimited simulations on CrossTrade, view our guided demo here:

How to Use CrossTrade for Automation