The Back-Testing exercise is very important for a new T3B student to understand and gain control over his trading system because it involves reconstructing, with the help of charts, entry and exit signals that would have occurred in the past using T3B rules. During the session students often come across emotions that obstruct their trading decisions. The results also help the students gain confidence on the system and the highlight the effectiveness of the system.
Using back-testing even after the course, students can improve on their trading psychology and money management skills and gain confidence to trade in actual market.