Why Full-Cash Backtest Orders May Leave Uninvested Cash

Summary

This forum post describes a daily stock rotation setup: invest the available cash in one stock, sell it the next day, and repeat. The author reports that orders filled close to fully invested earlier in the backtest but did not use all available capital near its end. The shown configuration assigns a 100% weight to one instrument and submits an order based on cash and portfolio limits.

The post asks why this happens but gives no replies, diagnosis, performance evidence, or confirmed fix. It is therefore a troubleshooting question rather than a demonstrated trading method. The excerpt does not establish whether the shortfall comes from order timing, execution constraints, cash accounting, or end-of-period handling, so it cannot support a general explanation of backtest cash usage.

Key ideas

• The strategy attempts to allocate all available cash to one stock at a time.
• The intended cycle buys a stock and sells it the following day before repeating.
• The author observes that cash allocation falls short of a full position near the backtest end.
• The post provides no diagnosis or verified remedy for the reduced allocation.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.