Module test: Backtesting and the limits of technical analysis
Check what you have learned in Backtesting and the limits of technical analysis. The questions cover these goals:
- Describe how a backtest works and the costs and frictions it must include.
- Identify survivorship bias, look-ahead bias and unrealistic execution assumptions in a backtest.
- Explain overfitting, sample size and out-of-sample testing and judge whether a result is robust.
- Explain the limits of technical analysis and the evidence on chart-based methods.
How this test works
- 10 questions, picked at random from a bank of 30. Each attempt mixes easy, medium and harder questions across the module's learning goals.
- One question at a time. You can go back, change answers, and jump to any question before you submit.
- No time limit. Your answers are saved in this browser as you go, so a refresh will not lose them.
- You pass with 80% or more. Your best attempt earns XP: 5 for each right answer and 50 more for a pass. Every answer is explained afterwards, and you can retake with fresh questions.
Prefer to see each answer straight away? Practise this module instead
Test results are a learning aid, kept only in your browser. They are not a certificate or proof of knowledge.