---
title: "Backtesting"
description: "Backtesting is the process of simulating a trading algorithm on historical data. By running a backtest, you can measure how the algorithm would have performed."
canonical: https://www.quantconnect.com/docs/v2/cloud-platform/backtesting
markdown: https://www.quantconnect.com/docs/v2/cloud-platform/backtesting.md
language: python
source: https://github.com/QuantConnect/Documentation/tree/master/01%20Cloud%20Platform/08%20Backtesting
modified: 2026-10-22
index: https://www.quantconnect.com/llms.txt
---

# Backtesting

[Documentation](https://www.quantconnect.com/docs/v2.md) > [Cloud Platform](https://www.quantconnect.com/docs/v2/cloud-platform.md) > Backtesting

> Code examples are shown in Python. Append `?lang=csharp` to this URL for the C# version of this page.

Backtesting is the process of simulating a trading algorithm on historical data. By running a backtest, you can measure how the algorithm would have performed in the past. Although past performance doesn't guarantee future results, an algorithm that has a proven track record can provide investors with more confidence when deploying to live trading than an algorithm that hasn't performed favorably in the past. Use the QuantConnect platform to run your backtests because we have institutional-grade datasets, an open-source backtesting engine that's constantly being improved, cloud servers to execute the backtests, and the backtesting hardware is maintained 24/7 by QuantConnect engineers.

- [Getting Started](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/getting-started.md): Learn the basics
- [Research Guide](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/research-guide.md): Backtesting 101
- [Deployment](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/deployment.md): Cloud backtests with institutional-grade data
- [Results](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/results.md): Gathering historical results
- [Debugging](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/debugging.md): Solve coding errors
- [Report](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/report.md): Measuring algorithm performance
- [Engine Performance](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/engine-performance.md): Track LEAN performance metrics

### See Also

- [Writing Algorithms](https://www.quantconnect.com/docs/v2/writing-algorithms.md)
- [Optimization](https://www.quantconnect.com/docs/v2/cloud-platform/optimization.md)
- [Resources](https://www.quantconnect.com/docs/v2/cloud-platform/organizations/resources.md)

## Pages in This Section

- [Getting Started](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/getting-started.md): Although past performance doesn't guarantee future results, an algorithm that has a proven track record can provide you with more confidence for live trading.
- [Research Guide](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/research-guide.md): We aim to teach the community to create high-performing algorithmic trading strategies. We measure our success by the live trading profits of the community.
- [Deployment](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/deployment.md): Deploy backtests to simulate your algorithm on our cloud servers. It's easy to transition to live trading once you're satisfied with the historical performance.
- [Results](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/results.md): Review the backtest results page to see how your algorithm has performed and to investigate how you might improve your algorithm before live trading.
- [Debugging](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/debugging.md): The debugger enables you to slow down the code execution, step through the program line-by-line, and inspect the variables to understand the algorithm state.
- [Report](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/report.md): Reports provide a summary of your algorithm's performance. They outline key statistics, returns, and performance during various market crises.
- [Engine Performance](https://www.quantconnect.com/docs/v2/cloud-platform/backtesting/engine-performance.md): A set of benchmark algorithms are periodically run to test the status and speed of the Lean engine. See the results on the Lean Performance Benchmark page.