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The idea is this: I got something like that, the money is made directly in scalp trading, where a person physically cannot reach(i mean from the bot's side). so This point is a weak point for the market, get me, right. So, I made such a bot that scalps all the time, and its primary value is to use its tirelessness and perform routine work. This is a different system. It thinks based on the situation and makes a decision rather than waiting for an indicator make a signal directly, like lines crossing each other or something primitive.
I have had it running for a year now, and in the last year, all the months were profitable except the first half of October, which was tough. So, I want to say that even during the October crash, the bot survived despite such a big movement. It has good results both in backtesting and live trading. I like that it sometimes messages me on Telegram when I’m asleep. This is also a business, but the problem is that you depend on a CEX exchange, which inherently creates risk. For example, Binance literally took away $80k from me last year due to technical issues, and it happened twice and they compensated an unfair tiny amount. I have been their customer since 2017, and in the end, I left dissatisfied. I switched to Bybit.
The bot is generating around 8-16% of its capital each month while I'm doing other things. I think the result is not bad; the bot trades strategically. Many use indicators to measure the trend, but this strategy catches the trend in a more unconventional way, trading the trend depending on the situation. Instead of using EMA and MA, which bring inaccuracies, fakeouts, and unreliability, it switches to hedging based on the situation, recognizing the trend and deciding it’s better to follow it.
The bot does not use static RSI 30/70 levels. It has an adaptive algorithm based on Machine Learning principles that adjusts parameters in real-time according to the position's status. The goal is that when the bot cannot close a position on one side for a long time, the macro boundaries of the RSI shift in the direction of the trend. For example, in a trending market, RSI is usually above 50. If the upper boundary dynamically rises to between 60 and 80, the bot more easily switches to the long side when RSI hits around 60 and trades with the trend. Then, the short positions close faster, and the dynamics gradually return to a more static state, but are still ready for dynamic. Meanwhile, normal non-trending trading continues.
It does not risk the entire capital at one price but gradually builds the position and minimizes the average entry price. the system works so that the bot trades in small portions according to its conditions. When older portions lag behind, mathematical calculations gradually bring them closer to the price to increase the chance of closing. The aim is to ensure, gradually and with mathematical guarantees, that the global take-profit percentage is not exceeded and losses are avoided by comparing old and new portions. It considers the global take-profit percentage and can only use up to 70% of it, also taking into account the size of the new portion. The greater the distance, the faster it brings the old portions closer to the price. The bot trades scalping, so it needs time to manage these portions.
And importantly, diversification is crucial. Each of the 10 bots has a unique trading profile. While one trades with a specific configuration, another might trade with a broader setup, more aggressively, balanced, or even inversely to the second bot. Some trade in ways or at times that don’t interfere with others; some focus more on shorts, others on longs. These 10 or 20, or any amount... each bots create diversification, so the market cannot counteract them. Even if one asset is struggling, the others hedge the risk. It creates 10 different trading profiles, which operate on different timeframes (1m, 3m, 5m, 15m). Use different RSI thresholds. Have different Take Profit levels. Some use partial laddering, others full exit. So to say 20, you can take 10 bots if you want; they are all in one pot, but they are different from each other. Some close the entire position earlier, others later. The bot that closed earlier checks the balance before starting trading and takes the percentage of the balance you specified for risk management in the config, which is allocated as a percentage for each bot, for example, 0.05% or 0.1% maximum per bot. When one profile is in loss, another is in profit - this is risk diversification, similar to hedge funds. The market is unaware of this, which is why diversification is a powerful weapon in the market.
If you have any questions, I will answer them here for those interested. The bot is written in Python and works via API. It has about 5000 lines of code in its memory. If the bot is turned off, it recalls the past from a JSON file, where it stores all the necessary information