Tick Data vs OHLCV: Which Do You Need for Backtesting?

The question comes up constantly: should I use tick data or OHLCV candles? Most strategies do not need tick data. But some absolutely do — and using candles instead produces results that are fundamentally wrong.

When OHLCV Is Sufficient

  • Trend-following strategies based on moving averages, RSI, MACD
  • Breakout strategies using support and resistance levels
  • Mean-reversion on daily or hourly timeframes
  • Grid trading bots and portfolio rebalancing

When You Need Tick Data

  • Order flow strategies: buy vs sell volume imbalance within each period
  • Scalping and HFT simulation: execution at specific price levels within a candle
  • Market making backtests: spread capture depends on the sequence of trades
  • Slippage modeling: accurate fill prices for large orders

Storage and Performance Tradeoffs

A Last Year BTC OHLCV dataset at 1m resolution is approximately 30MB in Parquet. The equivalent tick dataset for the same period is around 3.6GB — over 100x larger. For most backtesting workflows, OHLCV loads in milliseconds; tick data requires streaming or chunked processing.

The Glitch List offers both formats: Last Year tick-level datasets at $9 and OHLCV Packs (6 timeframes) at $19. Free 1-week samples available — direct download, no signup. → Browse the catalog

Summary

Use OHLCV if your strategy fires signals at candle boundaries and does not depend on intra-candle dynamics. Use tick data if you are studying order flow, simulating market making, or building any system where the sequence and timing of individual trades matters.