Backtest Data Query - and every tick - fundamentals

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Hi there - tried to search the forums on this but cannot find anything - not sure what 'phrase to use' to find an answer so apologies if this is asked before.  My question comes from this text and my experiences:

Every Tick (available least timeframes)

This mode allows to model price movement within a bar in the most precise way. Unlike "control points", the every-tick method uses for generation not only data of the nearest smaller timeframe, but also those of all available smaller timeframes. At that, if there are data of more than one timeframe for a certain time span available simultaneously, the data of the smaller timeframe are used for generation. Like the preceding method, this method generates control points based on the OHLC data of the smallest available timeframe. To generate price movements between control points, interpolation based on the predefined templates is used, too, so the availability of one-minute data that cover the entire testing range is extremely desirable. It may happen that several identical ticks are generated one after another. In this case, duplicated quotes are filtered out, and the volume of the last one of such successive quotes is fixed.


Scenario:  Trying to Backtest a data range for a Robot where the only data available is H4 data. No H1 or lower TF data is available at all.

Setup:  Backtest options are set to Use Date for the date range, EveryTick, Visual chart ON, Broker data only

Start:

1. When watching the Visual chart on the H4 set TF - I see it start on my chosen date

2. I see the price fluctuate on 1 H4 candle to form its high low etc - obviously on that day spread was fluctuating etc so dont expect that accurate simulation

3. Candle ends, new candle starts to form..goto 2


Questions:

  • So for a single candle - when I am looking at an H4 fluctuating in the Visual chart - and given there is no H1-M1 data - what information am I seeing here?  And what about it should I believe - whilst I can maybe trust the open and close result of the H4 candle, how do I trust or make decisions based on what happens in-between such as a price swinging between a high and low 10 times (example) - did it actually do it on the day or...
  • When you only have H4 data - how is the interpolation working?  In theory it could be completely wrong couldn't it? I.e. Actual Candle High could be made before a Low but the tester could show the Low created first?


Thanks



hope that makes some sense

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