Strategy Playground
Test your trading strategy and get a survival grade. Adjust parameters below and run the simulation.
Want to run this on real market data?
Download RangeSight to simulate with actual stock tickers and trade history. Run up to 10,000 Monte Carlo paths with real volatility data, Bull/Bear/Crash scenarios, and exportable reports.
Understanding Monte Carlo Simulation in Trading
What Is a Strategy Playground?
A strategy playground allows traders to test and compare multiple trading strategies under simulated market conditions before risking real capital. By inputting parameters like win rate, reward-to-risk ratio, and position sizing, traders can model thousands of possible outcomes and identify which strategies have the highest probability of long-term survival.
Why Compare Strategies Side-by-Side?
Single-strategy analysis can be misleading. Two strategies with similar expected returns can have vastly different risk profiles. Side-by-side Monte Carlo comparison reveals which strategy survives losing streaks, which produces tighter equity distributions, and which has the lowest probability of catastrophic drawdown.
How Monte Carlo Simulation Works
Monte Carlo simulation generates thousands of random trading paths based on your strategy's statistical parameters. Each path represents one possible future. By analyzing the distribution of all paths, not just the average, traders gain insight into worst-case drawdowns, ruin probability, and the range of likely outcomes.
From Simulation to Real Trading
Simulation is a starting point, not a guarantee. Real markets introduce slippage, commissions, correlation between trades, and psychological pressure. The best use of a strategy playground is to eliminate strategies with unacceptable risk profiles before they reach your live account, and to build confidence in strategies that survive the stress test.