Backtesting
Run a backtest
Run an options strategy over history and get back the equity curve, every trade, the positions they belong to and the performance statistics.
Describe the strategy in the request body: the legs and how their strikes and expiries are chosen, how positions are sized, when they are closed, and the cost model. See Strategy specification for every field.
Denomination is coin. Inverse options are quoted and settled in the base coin, so equity, premiums
and P&L are in BTC (or ETH). equity_usd is a derived reading alongside.
Lookback. start must fall inside your backtest lookback: 1 year on the monthly add-on, 3 years on
quarterly, full history (from September 2021) on annual. An earlier start returns 403. The
Sandmark-Backtest-Window-Start response header gives your earliest allowed date.
Warnings are part of the result. Degraded fills, carried marks and bars the option chain could not
serve are counted in warnings and diagnostics. Read them before trusting a number.
POST
/
v1
/
backtest
Run a backtest
curl --request POST \
--url https://api.sandmark.com/backtesting/v1/backtest \
--header 'Content-Type: application/json' \
--header 'X-API-Key: <api-key>' \
--data '
{
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"start": "2026-05-01",
"end": "2026-10-31",
"capital": {
"initial_equity": 1,
"sizing": {
"mode": "contracts",
"value": 1
}
},
"structure": {
"expiry": {
"by": "monthly",
"min_dte": 20
},
"legs": [
{
"id": "call",
"type": "call",
"direction": "short",
"strike": {
"by": "delta",
"value": 0.2
}
}
]
},
"lifecycle": {
"rules": [
{
"name": "take_profit_75",
"when": {
"predicate": {
"subject": "structure",
"metric": "premium",
"op": "below",
"value": -0.75,
"unit": "percent",
"reference": "entry"
}
},
"do": {
"action": "close_all"
}
},
{
"name": "delta_stop",
"when": {
"predicate": {
"subject": "leg:call",
"metric": "contract_delta",
"op": "above",
"value": 0.45
}
},
"do": {
"action": "close_all"
}
},
{
"name": "roll_before_expiry",
"when": {
"predicate": {
"subject": "structure",
"metric": "dte",
"op": "below",
"value": 2
}
},
"do": {
"action": "close_all"
}
}
]
}
}
'import requests
url = "https://api.sandmark.com/backtesting/v1/backtest"
payload = {
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"start": "2026-05-01",
"end": "2026-10-31",
"capital": {
"initial_equity": 1,
"sizing": {
"mode": "contracts",
"value": 1
}
},
"structure": {
"expiry": {
"by": "monthly",
"min_dte": 20
},
"legs": [
{
"id": "call",
"type": "call",
"direction": "short",
"strike": {
"by": "delta",
"value": 0.2
}
}
]
},
"lifecycle": { "rules": [
{
"name": "take_profit_75",
"when": { "predicate": {
"subject": "structure",
"metric": "premium",
"op": "below",
"value": -0.75,
"unit": "percent",
"reference": "entry"
} },
"do": { "action": "close_all" }
},
{
"name": "delta_stop",
"when": { "predicate": {
"subject": "leg:call",
"metric": "contract_delta",
"op": "above",
"value": 0.45
} },
"do": { "action": "close_all" }
},
{
"name": "roll_before_expiry",
"when": { "predicate": {
"subject": "structure",
"metric": "dte",
"op": "below",
"value": 2
} },
"do": { "action": "close_all" }
}
] }
}
headers = {
"X-API-Key": "<api-key>",
"Content-Type": "application/json"
}
response = requests.post(url, json=payload, headers=headers)
print(response.text)const options = {
method: 'POST',
headers: {'X-API-Key': '<api-key>', 'Content-Type': 'application/json'},
body: JSON.stringify({
name: 'BTC 20-delta covered call',
asset: 'DER.BTC_USD',
start: '2026-05-01',
end: '2026-10-31',
capital: {initial_equity: 1, sizing: {mode: 'contracts', value: 1}},
structure: {
expiry: {by: 'monthly', min_dte: 20},
legs: [
{
id: 'call',
type: 'call',
direction: 'short',
strike: {by: 'delta', value: 0.2}
}
]
},
lifecycle: {
rules: [
{
name: 'take_profit_75',
when: {
predicate: {
subject: 'structure',
metric: 'premium',
op: 'below',
value: -0.75,
unit: 'percent',
reference: 'entry'
}
},
do: {action: 'close_all'}
},
{
name: 'delta_stop',
when: {
predicate: {subject: 'leg:call', metric: 'contract_delta', op: 'above', value: 0.45}
},
do: {action: 'close_all'}
},
{
name: 'roll_before_expiry',
when: {predicate: {subject: 'structure', metric: 'dte', op: 'below', value: 2}},
do: {action: 'close_all'}
}
]
}
})
};
fetch('https://api.sandmark.com/backtesting/v1/backtest', options)
.then(res => res.json())
.then(res => console.log(res))
.catch(err => console.error(err));{
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"bars": 183,
"runtime_seconds": 0.149,
"strategy": {
"headline": "Short call",
"legs": [
{
"id": "call",
"direction": "Short",
"kind": "call",
"strike": "20 delta",
"expiry": "front monthly (last Friday) at least 20 days out",
"ratio": 1,
"sentence": "Short 20 delta call, front monthly (last Friday) at least 20 days out"
}
],
"lifecycle": [
"enter whenever flat",
"close the position when the structure's premium falls -75% below entry",
"close the position when the call leg's delta rises above 0.45",
"close the position when days to expiry falls below 2"
],
"sizing": "1 contracts, fixed",
"hedge": null,
"costs": "filled at mark, 0.03% taker fee, capped at 12.5% of premium"
},
"stats": {
"start": "2026-05-01T08:00:00+00:00",
"end": "2026-10-30T08:00:00+00:00",
"duration_days": 182,
"initial_equity": 0.9997,
"final_equity": 0.998437,
"total_return": -0.001263,
"cagr": -0.002531,
"volatility": 0.09877,
"sharpe": 0.024579,
"sortino": 0.026966,
"calmar": -0.028629,
"drawdown": {
"max_drawdown": -0.088411,
"avg_drawdown": -0.038878,
"longest_underwater_days": 75,
"max_drawdown_start": "2026-08-16T08:00:00+00:00",
"max_drawdown_trough": "2026-09-23T08:00:00+00:00"
},
"trades": {
"count": 14,
"winners": 11,
"losers": 3,
"win_rate": 0.785714,
"avg_pnl": -0.000112,
"avg_win": 0.009131,
"avg_loss": -0.034,
"best": 0.01155,
"worst": -0.0764,
"profit_factor": 0.984681,
"avg_holding_days": 13,
"total_fees": 0.008063
},
"structures": {
"count": 14,
"win_rate": 0.785714,
"avg_pnl": -0.000112,
"best": 0.01155,
"worst": -0.0764,
"profit_factor": 0.984681,
"avg_legs": 1,
"avg_holding_days": 13
},
"yearly_returns": {
"2026": -0.001263
}
},
"equity": [
{
"timestamp": "2026-05-01T08:00:00+00:00",
"equity": 0.9997,
"equity_usd": 77088.725817,
"cash": 1.0111,
"positions_value": -0.0114,
"spot": 77111.859375,
"open_positions": 1
},
{
"timestamp": "2026-05-02T08:00:00+00:00",
"equity": 0.9974,
"equity_usd": 78011.633222,
"cash": 1.0111,
"positions_value": -0.0137,
"spot": 78214.992188,
"open_positions": 1
}
],
"positions": [
{
"position": "BTC 20-delta covered call-00001",
"entry_time": "2026-05-01T08:00:00",
"exit_time": "2026-05-18T08:00:00",
"legs": 1,
"expiry": "2026-05-29T08:00:00",
"net_premium": 0.0114,
"fees": 0.000588,
"pnl": 0.008513,
"reason": "take_profit_75"
}
],
"trades": [
{
"instrument": "BTC-29MAY26-84000-C",
"type": "C",
"strike": 84000,
"expiry": "2026-05-29T08:00:00",
"entry_time": "2026-05-01T08:00:00",
"exit_time": "2026-05-18T08:00:00",
"quantity": -1,
"entry_price": 0.0114,
"exit_price": 0.0023,
"fees": 0.000588,
"pnl": 0.008513,
"entry_dte": 28,
"exit_dte": 11,
"holding_days": 17,
"reason": "take_profit_75",
"position": "BTC 20-delta covered call-00001",
"tags": [
"call"
],
"entry_delta": 0.21217,
"exit_delta": 0.08431,
"entry_iv": 0.3584,
"exit_iv": 0.3539
}
],
"warnings": [
"only 14 positions: ratio estimates are dominated by noise below ~30"
],
"diagnostics": {
"fills_total": 28,
"fills_degraded": 0,
"fills_degraded_pct": 0
}
}{
"statusCode": 400,
"message": "start must be a date such as 2025-11-01"
}{
"statusCode": 401,
"message": "Access denied due to invalid subscription key. Make sure to provide a valid key for an active subscription."
}{
"statusCode": 403,
"message": "start is before your backtest lookback, which begins 2025-11-07"
}{
"detail": [
{
"loc": [
"<string>"
],
"msg": "<string>",
"type": "<string>",
"input": "<unknown>",
"ctx": {}
}
]
}{
"statusCode": 429,
"message": "Rate limit is exceeded. Try again in 31 seconds."
}Start from a recipe rather than a blank spec, and see
Strategy specification for what every field does.
Authorizations
Your Sandmark Backtesting API key.
Query Parameters
json for the full result, html for a self-contained report, csv for a zip of trades, positions and equity, xlsx for an Excel workbook.
Available options:
json, html, csv, xlsx Colour theme of the html report. Ignored for other formats.
Available options:
light, dark Body
application/json
First day of the backtest, YYYY-MM-DD. Must fall inside your backtest lookback; data begins 2021-09-01.
Last day of the backtest, YYYY-MM-DD, inclusive.
The legs to trade, how their expiry is chosen, and an optional hedge.
Show child attributes
Show child attributes
Defaults to 1.
Required range:
1 <= x <= 1Required string length:
1 - 120Underlying to trade. Inverse BTC and ETH carry history from September 2021.
Available options:
DER.BTC_USD, DER.ETH_USD, DER.SOL_USDC, DER.XRP_USDC When the strategy looks at the market.
Show child attributes
Show child attributes
Starting equity, in coin, and how each new position is sized.
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Show child attributes
When positions are opened and closed. With no rules, positions are held to expiry.
Show child attributes
Show child attributes
Fill model and fees.
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Show child attributes
Response
The backtest result, in the requested format.
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Show child attributes
Show child attributes
Show child attributes
Show child attributes
Show child attributes
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What the strategy does, derived from its configuration rather than its name, so it cannot describe something other than what ran.
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Show child attributes
Not decoration. Silent data holes are the main way an options backtest lies, so degraded fills, carried marks and bars the chain could not serve are counted here.
Show child attributes
Show child attributes
⌘I
Run a backtest
curl --request POST \
--url https://api.sandmark.com/backtesting/v1/backtest \
--header 'Content-Type: application/json' \
--header 'X-API-Key: <api-key>' \
--data '
{
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"start": "2026-05-01",
"end": "2026-10-31",
"capital": {
"initial_equity": 1,
"sizing": {
"mode": "contracts",
"value": 1
}
},
"structure": {
"expiry": {
"by": "monthly",
"min_dte": 20
},
"legs": [
{
"id": "call",
"type": "call",
"direction": "short",
"strike": {
"by": "delta",
"value": 0.2
}
}
]
},
"lifecycle": {
"rules": [
{
"name": "take_profit_75",
"when": {
"predicate": {
"subject": "structure",
"metric": "premium",
"op": "below",
"value": -0.75,
"unit": "percent",
"reference": "entry"
}
},
"do": {
"action": "close_all"
}
},
{
"name": "delta_stop",
"when": {
"predicate": {
"subject": "leg:call",
"metric": "contract_delta",
"op": "above",
"value": 0.45
}
},
"do": {
"action": "close_all"
}
},
{
"name": "roll_before_expiry",
"when": {
"predicate": {
"subject": "structure",
"metric": "dte",
"op": "below",
"value": 2
}
},
"do": {
"action": "close_all"
}
}
]
}
}
'import requests
url = "https://api.sandmark.com/backtesting/v1/backtest"
payload = {
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"start": "2026-05-01",
"end": "2026-10-31",
"capital": {
"initial_equity": 1,
"sizing": {
"mode": "contracts",
"value": 1
}
},
"structure": {
"expiry": {
"by": "monthly",
"min_dte": 20
},
"legs": [
{
"id": "call",
"type": "call",
"direction": "short",
"strike": {
"by": "delta",
"value": 0.2
}
}
]
},
"lifecycle": { "rules": [
{
"name": "take_profit_75",
"when": { "predicate": {
"subject": "structure",
"metric": "premium",
"op": "below",
"value": -0.75,
"unit": "percent",
"reference": "entry"
} },
"do": { "action": "close_all" }
},
{
"name": "delta_stop",
"when": { "predicate": {
"subject": "leg:call",
"metric": "contract_delta",
"op": "above",
"value": 0.45
} },
"do": { "action": "close_all" }
},
{
"name": "roll_before_expiry",
"when": { "predicate": {
"subject": "structure",
"metric": "dte",
"op": "below",
"value": 2
} },
"do": { "action": "close_all" }
}
] }
}
headers = {
"X-API-Key": "<api-key>",
"Content-Type": "application/json"
}
response = requests.post(url, json=payload, headers=headers)
print(response.text)const options = {
method: 'POST',
headers: {'X-API-Key': '<api-key>', 'Content-Type': 'application/json'},
body: JSON.stringify({
name: 'BTC 20-delta covered call',
asset: 'DER.BTC_USD',
start: '2026-05-01',
end: '2026-10-31',
capital: {initial_equity: 1, sizing: {mode: 'contracts', value: 1}},
structure: {
expiry: {by: 'monthly', min_dte: 20},
legs: [
{
id: 'call',
type: 'call',
direction: 'short',
strike: {by: 'delta', value: 0.2}
}
]
},
lifecycle: {
rules: [
{
name: 'take_profit_75',
when: {
predicate: {
subject: 'structure',
metric: 'premium',
op: 'below',
value: -0.75,
unit: 'percent',
reference: 'entry'
}
},
do: {action: 'close_all'}
},
{
name: 'delta_stop',
when: {
predicate: {subject: 'leg:call', metric: 'contract_delta', op: 'above', value: 0.45}
},
do: {action: 'close_all'}
},
{
name: 'roll_before_expiry',
when: {predicate: {subject: 'structure', metric: 'dte', op: 'below', value: 2}},
do: {action: 'close_all'}
}
]
}
})
};
fetch('https://api.sandmark.com/backtesting/v1/backtest', options)
.then(res => res.json())
.then(res => console.log(res))
.catch(err => console.error(err));{
"name": "BTC 20-delta covered call",
"asset": "DER.BTC_USD",
"bars": 183,
"runtime_seconds": 0.149,
"strategy": {
"headline": "Short call",
"legs": [
{
"id": "call",
"direction": "Short",
"kind": "call",
"strike": "20 delta",
"expiry": "front monthly (last Friday) at least 20 days out",
"ratio": 1,
"sentence": "Short 20 delta call, front monthly (last Friday) at least 20 days out"
}
],
"lifecycle": [
"enter whenever flat",
"close the position when the structure's premium falls -75% below entry",
"close the position when the call leg's delta rises above 0.45",
"close the position when days to expiry falls below 2"
],
"sizing": "1 contracts, fixed",
"hedge": null,
"costs": "filled at mark, 0.03% taker fee, capped at 12.5% of premium"
},
"stats": {
"start": "2026-05-01T08:00:00+00:00",
"end": "2026-10-30T08:00:00+00:00",
"duration_days": 182,
"initial_equity": 0.9997,
"final_equity": 0.998437,
"total_return": -0.001263,
"cagr": -0.002531,
"volatility": 0.09877,
"sharpe": 0.024579,
"sortino": 0.026966,
"calmar": -0.028629,
"drawdown": {
"max_drawdown": -0.088411,
"avg_drawdown": -0.038878,
"longest_underwater_days": 75,
"max_drawdown_start": "2026-08-16T08:00:00+00:00",
"max_drawdown_trough": "2026-09-23T08:00:00+00:00"
},
"trades": {
"count": 14,
"winners": 11,
"losers": 3,
"win_rate": 0.785714,
"avg_pnl": -0.000112,
"avg_win": 0.009131,
"avg_loss": -0.034,
"best": 0.01155,
"worst": -0.0764,
"profit_factor": 0.984681,
"avg_holding_days": 13,
"total_fees": 0.008063
},
"structures": {
"count": 14,
"win_rate": 0.785714,
"avg_pnl": -0.000112,
"best": 0.01155,
"worst": -0.0764,
"profit_factor": 0.984681,
"avg_legs": 1,
"avg_holding_days": 13
},
"yearly_returns": {
"2026": -0.001263
}
},
"equity": [
{
"timestamp": "2026-05-01T08:00:00+00:00",
"equity": 0.9997,
"equity_usd": 77088.725817,
"cash": 1.0111,
"positions_value": -0.0114,
"spot": 77111.859375,
"open_positions": 1
},
{
"timestamp": "2026-05-02T08:00:00+00:00",
"equity": 0.9974,
"equity_usd": 78011.633222,
"cash": 1.0111,
"positions_value": -0.0137,
"spot": 78214.992188,
"open_positions": 1
}
],
"positions": [
{
"position": "BTC 20-delta covered call-00001",
"entry_time": "2026-05-01T08:00:00",
"exit_time": "2026-05-18T08:00:00",
"legs": 1,
"expiry": "2026-05-29T08:00:00",
"net_premium": 0.0114,
"fees": 0.000588,
"pnl": 0.008513,
"reason": "take_profit_75"
}
],
"trades": [
{
"instrument": "BTC-29MAY26-84000-C",
"type": "C",
"strike": 84000,
"expiry": "2026-05-29T08:00:00",
"entry_time": "2026-05-01T08:00:00",
"exit_time": "2026-05-18T08:00:00",
"quantity": -1,
"entry_price": 0.0114,
"exit_price": 0.0023,
"fees": 0.000588,
"pnl": 0.008513,
"entry_dte": 28,
"exit_dte": 11,
"holding_days": 17,
"reason": "take_profit_75",
"position": "BTC 20-delta covered call-00001",
"tags": [
"call"
],
"entry_delta": 0.21217,
"exit_delta": 0.08431,
"entry_iv": 0.3584,
"exit_iv": 0.3539
}
],
"warnings": [
"only 14 positions: ratio estimates are dominated by noise below ~30"
],
"diagnostics": {
"fills_total": 28,
"fills_degraded": 0,
"fills_degraded_pct": 0
}
}{
"statusCode": 400,
"message": "start must be a date such as 2025-11-01"
}{
"statusCode": 401,
"message": "Access denied due to invalid subscription key. Make sure to provide a valid key for an active subscription."
}{
"statusCode": 403,
"message": "start is before your backtest lookback, which begins 2025-11-07"
}{
"detail": [
{
"loc": [
"<string>"
],
"msg": "<string>",
"type": "<string>",
"input": "<unknown>",
"ctx": {}
}
]
}{
"statusCode": 429,
"message": "Rate limit is exceeded. Try again in 31 seconds."
}