Lidar simulation techniques are a suitable and increasingly reliable alternative for testing lidar measuring strategies and illustrating their response when combined with modelled wind fields. In this work, two simulation tools are combined to assess the uncertainty in the derivation of the rotor effective wind speed and the wind speed variance from a forward-looking nacelle-mounted continuous wave lidar wind speed estimations. These uncertainties are analysed for a variety of atmospheric turbulence levels and lidar measuring strategies. A synthetic turbulence generator is used to create the reference wind fields. Subsequently, a lidar simulator operated in a continuous-wave mode is used to scan the synthetic wind fields and perform a sensitivity analysis by comparing first- and second-order statistics against reference values. The lidar simulator is enhanced with three Doppler peak detection methods, namely the maximum, the median and the centroid, to extract radial wind speeds from the velocities found within the probe volume. The results show that probe volume and peak detection methods influence the uncertainty of the wind speed variance. The uncertainty in time-averaged and instantaneous rotor effective wind speed estimations is not sensitive to the lidar spatial averaging or peak detection methods investigated. Finally, we saw that the turbulence intensity influences the derived lidar quantities and is the main driver of the variations in rotor effective wind speed uncertainty estimations.