Exchange fees can quickly eat into your profits if not managed carefully. This article explains how Gunbot handles these fees to optimize your trading strategies.
Understanding Gunbot’s Approach to Exchange Fees
Gunbot provides a flexible way to handle exchange fees, allowing users to set an average expected fee level when linking to a cryptocurrency exchange. This setup is crucial as it directly influences how the bot calculates the unit cost of the assets in your portfolio. By factoring in these fees, Gunbot ensures that your profit targets are consistently above the fee threshold, maintaining the profitability of your trades.
Step-by-Step: Setting Up Exchange Fees in Gunbot
Setting up exchange fees in Gunbot is straightforward but essential. As you connect to a cryptocurrency exchange, you’ll be prompted to input the average expected fee level. This figure should reflect the typical costs you incur during trading, ensuring that Gunbot accurately incorporates these fees into its trading logic.
How Gunbot Leverages Fee Information for Profitable Trading
Once you've configured the fee level, Gunbot uses this data to calculate the unit cost of the assets you hold. The bot then sets profit targets that exceed these costs, making sure that each trade is executed with profitability in mind. This system is particularly useful in volatile markets, where small margins can make a significant difference.
Best Practices: Setting the Right Fee Levels
When configuring fee levels in Gunbot, it’s wise to err on the side of caution. Setting the highest fee level you might encounter ensures that your trading strategies are robust against sudden fee increases. This conservative approach safeguards your trades, keeping them profitable even when fees unexpectedly rise. Always refer to your exchange's support documentation to determine the applicable fee levels accurately.