How I Backtest Trading Strategies Using AI + TradingView (2026 Update)

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January 29, 2026

On January 29, 2026

I used to backtest like most beginners: staring at charts, going candle by candle, convincing myself I “would’ve entered here” and “obviously I wouldn’t take that trade.” It felt productive. It wasn’t. It was basically roleplaying.

Now I do it in a way that’s faster and way more honest. I take a strategy idea, turn it into a TradingView strategy script using AI, paste it into TradingView, and let the strategy tester tell me the truth.

This isn’t about asking AI to create some magical system. It’s about using AI like a translator. You give it the rules, it gives you the code, and TradingView gives you the results.

Quick Backtest Shortcode (copy this)

Step	What you do
1	Write your strategy rules (entry, exit, risk, market, timeframe)
2	Open ChatGPT and search “TradingView indicator & strategy developer”
3	Paste your rules + ask for a Pine Script v5 STRATEGY (not indicator)
4	Open TradingView → Pine Editor → paste code → Add to chart
5	Open Strategy Tester
6	If code errors: copy the error back to ChatGPT and ask to fix without changing logic
7	Adjust rules (not random indicators), re-test

First thing: don’t ask AI for “a strategy”

If you ask ChatGPT “give me a profitable strategy,” you’ll get the same recycled nonsense everyone else gets. And it’ll sound convincing, which is the dangerous part.

What you want is way simpler:

You already have a rough idea, even if it’s basic. Your job is to make the rules clear enough that a robot can’t misunderstand them.

Example: Supertrend.

Buy when Supertrend turns green.
Sell when it turns red.
That’s it.

That’s a strategy. Simple doesn’t mean stupid. Simple means testable.

What I do in ChatGPT (this part matters)

In ChatGPT, I search for a GPT called:

“TradingView indicator & strategy developer”

It’s better at Pine Script than the normal chat most of the time.

Then I don’t say “make me a strategy.” I say “turn these rules into a TradingView strategy script.”

Here’s the kind of prompt that works. It’s boring on purpose:

Write a TradingView strategy in Pine Script v5.

Rules:
- Use Supertrend (default settings are fine)
- Long only
- Enter long when Supertrend flips to green (bullish)
- Exit when Supertrend flips to red (bearish)
- Use 100% equity per trade
- No pyramiding

Do not change the rules. Just write the script.

That line “do not change the rules” saves you from a lot of AI creativity.

Then I go to TradingView and paste it

On TradingView:

Open a chart
Bottom panel → Pine Editor
Paste the code
Click Add to chart

If it throws an error, I don’t panic. I just copy the error message back into ChatGPT and say:

“Fix this error without changing the logic.”

Most of the time it works on the first or second try.

Where you actually see if it’s trash: Strategy Tester

After it’s on the chart, click:

Strategy Tester

And this is where your feelings get replaced by data.

TradingView will show you things like:

Net profit
Win rate
Max drawdown
Number of trades
Profit factor

Most “great ideas” die here. That’s normal. That’s the point.

The numbers I care about (and the ones I ignore)

Beginners obsess over win rate. I get why. It feels safe.

But win rate is only one piece. A 40% win rate can be excellent if winners are bigger than losers. A 70% win rate can still bleed you out if the losses are huge.

This is what I check first:

Max drawdown: can I survive this psychologically and financially?
Profit factor: is it actually positive in a meaningful way?
Trade count: was this based on 12 trades or 500?
Equity curve: does it grow steadily or is it one lucky run?

If the equity curve looks like a heart monitor, I’m not trading it.

One mistake that ruins backtesting

People test random time periods and then act surprised.

If you want to trade something live, test at least a couple years. If it only works in one month of perfect trend conditions, that’s not a system. That’s luck with good marketing.

Also, don’t optimize immediately. Beginners love optimization because it feels like progress. Most of the time it just overfits the past.

The real benefit of this workflow

This method isn’t just faster. It changes how you think.

You stop arguing with the chart and start asking better questions:

What exactly is my entry condition?
What counts as an exit?
Where does this strategy get hurt?
What market conditions does it need?

And because you can test quickly, you can iterate without wasting your life.

If you want to improve the strategy, don’t add 5 indicators

This is where people go wrong.

If it’s weak, don’t start stacking indicators like you’re building a lasagna.

Make one clean improvement at a time:

add a session filter
add a trend filter (trade only above 200MA, etc.)
add a volatility filter
refine exits

Then re-test.

Bottom line

This is how I backtest now:

I write simple rules.
I use AI to translate them into Pine Script.
I paste into TradingView.
I trust the tester, not my ego.

One simple, boring system that survives data is worth more than 100 “clever” ideas that don’t.

Use AI to speed up your thinking, not replace it.

That’s how I do it.

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