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Embargo

QuantA gap between the train set and the test set in walk-forward evaluation. Prevents leakage of recent information into the model used for older data.

Full definition

An embargo is a deliberate gap inserted between the training window and the test window in walk-forward or rolling-origin evaluation. Without an embargo, the test set can leak information back into the training set via look-ahead in features that depend on forward-looking data (rolling means, regime labels, factor scores). On this site, every walk-forward evaluation uses an embargo of at least 1 bar between train and test; the embargo length is reported as part of gate G7.

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