For successful trading, I have created a trading strategy based on calculations, which have various variables. In order to measure these variables, I have used the high, low, open, and close prices as well as the volume of transactions. Indicators play an essential role in identifying buying and selling points. My trading strategy and algorithm are currently only for upward transactions (long positions), but there is also the ability to perform downward transactions (short positions) in two-way markets such as forex and crypto markets.
In order to test the strategy, I used the tradingview.com platform. We have written the script named “Arghavan”.
As shown in the below results, we can see that the strategy has a great outcome in the Crypto market. For 3 years, we have had the maximum Net profit of 27967% for FTMUSDT in the daily time frame. There are a lot of other things that can be done by our algorithm. We have made a program in a python programming language that can automatically buy and sell digital currencies without needing manual work. We have connected our program to the Kucoin Exchange market via API.
Overview description:
Net profit: the overall profit or loss achieved
Total closed trades: the total number of closed trades, winning and losing.
Percent profitable: the percentage of winning trades, the number of winning trades divided by the total number of closed trades.
Profit factor: The amount of money the strategy made for every unit of money it lost, gross profits divided by gross losses.
Max drawdown: the greatest loss drawdown, i.e., the greatest possible loss the strategy had compared to its highest profits.
Avg Trade: the sum of money gained or lost by the average trade, net profit divided by the overall number of closed trades.
Avg # bars in trades: the average number of bars that elapsed during trades for all closed trades.
Timeframe: we have used Daily and 4H (4 Hours) to test the strategy.
Trading algorithm:
The algorithm is optimized to work in crypto market. But it can be changed and altered to work better in other markets like Forex.
I have used some indicators in the strategy:
Ichimoku Cloud; acts as the leading indicator.
Volume and RSI; without strong volume, a market move is not valid.
Exponential Moving Averages and Supertrend; prevents trading against the trend.
Chandelier Exit and Parabolic SAR; Detect the sell and buy signals better and optimize the buy signals
I have configured the properties of indicators in my own way which is the main difference of my strategy. For example, we buy only when RSI(14) is above 49! We only consider the outcome of indicators when the new candle is created and the last candle has been fixed. So all the analyses rely on the last closed candle.
Bitcoin chart and trades
Performance Overview (Bitcoin)
Trades in Bitcoin
Fantom chart and trades
Performance Overview (Fantom)
Trades in Fantom
To learn more about the project and see more results, please follow the Project page.
I accept professionals for co-working in other markets.
Any ideas will be considered for traders and researchers!