About Strategy Builder
The strategy builder for spot markets in Gunbot allows you to create and personalize your trading strategies with a wide range of options. You can choose any two methods as the primary buy and sell triggers, giving you flexibility and control over your trading decisions.
In addition to the primary order triggers, there are several modules available to extend the functionality of your strategy. These modules include categories such as Balance, Indicator, TrailMe, DCA, Confirming Indicators, Reversal Trading, Stop Loss, and Miscellaneous.
A builder strategy is a set of conditions that must all be met before a trade is executed. For example, even if the buy method criteria are satisfied, the strategy will not execute a trade until all other specified conditions, such as confirmation from an indicator or additional trailing requirements, are also met simultaneously.
Available Buy and Sell Methods
The strategy builder offers various methods for buying and selling, each with its unique approach. Here's a detailed look at the available methods:
Method | Description |
---|---|
adx | Uses the ADX indicator to trade only when trends are strong enough. This method helps to filter out trades during periods of low market activity. |
atrts | Uses the ATR indicator to measure volatility changes and trade on a trailing stop. This method is particularly useful in highly volatile markets. |
bb | Buys and sells at configurable points between the lower and upper Bollinger Bands, helping to capitalize on volatility and mean reversion. |
bbta | Buys and sells after a reentry at configurable points between the lower and upper Bollinger Bands, allowing for refined entries and exits. |
emaspread | Uses the spread between slow and fast EMA to trade when price direction changes, ideal for trend-following strategies. |
emotionless | A "just works" strategy with minimal configurable parameters, perfect for novice traders who want to get started quickly. |
gain | Buys at a percentage below EMA and sells when your set gain is reached, providing a straightforward approach to profit-taking. |
ichimoku | A trading algorithm based on the Ichimoku cloud indicator, which provides multiple lines of support/resistance and trend signals. |
macd | Uses the MACD indicator to trade when momentum changes, suitable for capturing market reversals and continuations. |
macdh | Uses the MACD histogram to trade when momentum changes, offering a different perspective on market momentum. |
pp | Sets a fixed buy and sell price, ideal for coins that stay within a predictable price range, perfect for range-bound trading. |
stepgain | Similar to gain , but after hitting initial buy or sell levels, it checks if prices will further decrease or increase, ensuring trades occur only when trends reverse. |
smacross | Uses crossings of fast and slow SMA to trade when price direction changes, useful for detecting new trends early. |
supportresistance | Buys at support levels and sells at resistance levels, leveraging key market levels for trade entries and exits. |
tsa | Tries to predict future prices and trades on predicted trend reversals, integrating predictive analytics into your trading. |
tssl | Uses a moving range around market prices for buying and selling, trailing optimal buy and sell levels to capture better trade opportunities. |
Combining Methods
Not all combinations of buy/sell methods work well together, especially with trailing or confirming indicators. For example, using macd
with a confirming indicator like Stochastic in cross mode may reduce trading opportunities because both indicators need to cross in the same cycle.
Common Building Blocks
The strategy builder includes several common building blocks to enhance your strategies. These components provide additional functionality and flexibility:
Balance Settings
Balance settings allow you to manage your capital allocation and risk. You can specify how much of your balance to allocate to each trade, ensuring you maintain a balanced and diversified portfolio.
Confirming Indicators
Confirming indicators are used to validate trade signals. For example, you can use a moving average crossover as the primary trigger and confirm it with a secondary indicator like RSI to reduce false signals and improve accuracy.
DCA (Dollar-Cost Averaging)
Dollar-cost averaging (DCA) helps to mitigate risk by spreading your investment across multiple buys. This approach can smooth out the impact of market volatility and reduce the risk of making a large purchase at a single price point.
Reversal Trading (RT)
Reversal trading focuses on identifying and trading market reversals. This module can help you capitalize on turning points in the market, potentially capturing significant price movements.
TrailMe
TrailMe implements trailing stops to maximize your profits. This feature adjusts the stop-loss level as the market price moves in your favor, locking in gains and protecting against reversals.
Miscellaneous Settings
Miscellaneous settings provide additional customization options to fine-tune your strategy. These may include parameters for managing slippage, order execution, and other advanced settings.
Protections
Trading methods come with various protections to manage risk and ensure strategic execution:
- Pyramid Buying: Some methods allow multiple buys, while others only permit a single buy. This feature helps manage risk by controlling how many times a position can be added to.
- Buy Level: Protects against buying above the lowest EMA. For futures trading, these are called "Long level" and "Short level". This setting ensures that you buy at optimal prices relative to moving averages.
- Sell Protection: Many methods prevent placing a sell order below the break-even point, with some methods making this optional. This feature helps protect your capital by ensuring you only sell at profitable levels.
- Grid Strategies: These have built-in, generally non-configurable protections to manage the unique risks associated with grid trading. These protections include limits on the number of grid levels and controls on order spacing. Grid strategies are completely separate from the strategy builder.
Detailed Protections Per Method
Method | Allows Pyramid Buying? | Buy Level Protection? | Sell Protection (Gain)? |
---|---|---|---|
adx | No | No | Optional |
atrts | No | No | Yes |
bb | No | Yes | Yes |
bbta | No | No | Optional |
emaspread | No | No | Optional |
emotionless | No | Yes | Yes |
gain | No | Yes | Yes |
ichimoku | No | No | Optional |
macd | Yes | No | Optional |
macdh | Yes | No | Optional |
pp | No | No | Optional |
smacross | Yes | No | Optional |
stepgain | No | Yes | Yes |
supportresistance | Yes | No | Yes |
tsa | No | No | Yes |
tssl | No | Yes | Yes |
Enhancing Your Strategy
To optimize your trading strategy, consider these modules:
- Balance Settings: Manage your capital allocation and risk. Learn more about Balance Settings.
- Confirming Indicators: Use additional indicators to validate trade signals. Read about Confirming Indicators.
- DCA (Dollar-Cost Averaging): Mitigate risk by spreading your investment across multiple buys. Explore DCA.
- Reversal Trading (RT): Identify and trade on market reversals. Discover Reversal Trading.
- TrailMe: Implement trailing stops to maximize profits. Check out TrailMe.
- Miscellaneous: Additional settings and tools to customize your strategy. Learn about Miscellaneous Settings.
Conclusion
The Gunbot strategy builder provides a robust and flexible platform for creating personalized trading strategies. By leveraging the various buy and sell methods, along with advanced modules and protections, you can develop strategies tailored to your trading style and goals. Whether you are a novice trader or an experienced professional, the strategy builder offers the tools you need to succeed in spot markets.