What is Monte Carlo Simulation?
A Monte Carlo simulation reshuffles or resamples a strategy's trades many times to build a range of possible outcomes instead of a single equity curve. By reordering the same wins and losses thousands of ways, it shows how different the results could have looked from luck alone. It helps you see plausible worst cases, not just the one path that happened to occur.
Why Monte Carlo Simulation matters
It turns a single backtest line into a distribution, which is a more honest picture of risk.
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