CryptoTrading
- Experten
- Federico Ottazzi
- Version: 1.2
- Aktualisiert: 23 Juni 2023
- Aktivierungen: 10
Overview
What is Crypto Trading
CryptoTrading is an Expert Advisor capable of operating automatically and semi-automatically, designed to help the trader's operations in the cryptocurrency markets.
You may also like Simple BTCUSD: https://www.mql5.com/en/market/product/101456?source=Site+Market+Product+Page
Platform, brokers and VPS
The software is for use on the MT5 platform. In principle it can work on any broker with crypto markets, however we recommend brokers specialized in cryptocurrencies and with advantageous features, including low spreads and swaps (which are generally high in crypto markets).
The use of a VPS is strongly recommended to avoid discontinuity in the connection.
Considerations on the crypto markets
Bitcoin is the first and most important cryptocurrency, which is why the others are subject to the price fluctuations of Bitcoin.
The software was first tested on BTCUSD, but it can work well on ETHUSD.
By managing the EA in a semi-automatic way (activating it when necessary, choosing the direction and using personalized parameters), in principle it is possible to extend its use to further cryptocurrencies (as long as it is a crypto/dollar exchange), however we advise against it due to the their high degree of uncertainty coupled with generally unfavorable spreads.
Presentation
One of the characteristics of the crypto markets is the presence of strong and long trends, up or down. CryptoTrading is programmed to spot the dominant trend and open and close positions based on the price swings along the up or down channel.
The software has proven to be able to work fully automatically during periods marked by important trend phases. Despite this, it was also able to deal with phases of lateralization and uncertainty with some success.
It works well in both directions (buy and sell), but you can choose only one, based on your preference.
There are two operating modes that can be chosen according to the opportunity and preference:
- "fast", capable of intercepting shorter (but still important) trends;
- "slow", which examines a wider period of time.
it is possible that there are more or less long periods of inactivity, in some cases even over a month, especially at start-up.
Finally, there are many other customizable parameters with which the trader can establish the optimal strategy for him.
Unlike many EAs, based on the opening of multiple positions at a loss (hoping for a reversal, which may not arrive conveniently), CryptoTrading opens only one position at a time per type of operation (therefore at most two, if both are active the modes, "fast" and "slow"), thus allowing the trader to easly monitor it.
Several EAs, even noble ones, have backtest charts with the capital line constantly gaining for years. This type of operation is very attractive, but hides great dangers: these results, most of the time, are obtained by exposing the capital to loss-making operations and closing them when the overall balance becomes positive (allowing at most some losses), or by unbalancing the stop-loss and take-profit ratio, concepts that are not very distant from that of the martingale. There is no guarantee that the market will significantly reverse its trend and that the positions will finally return to profit, risking being forced out of operations after accumulating a large loss. Just like with the martingale, even after periods of great luck, the precipice is always around the corner.
From the graphs of our backtests it is possible to appreciate moments of gain in which the EA is able to adequately interpret the signals of the market, alternating with moments of loss. This type of trend is indicative of correct operation.
According to our philosophy, Expert Advisors should not be understood as substitutes for discretionary trading, but as an aid that allows expert traders to manage their operations without the task of continuous 24/7 monitoring and the effort of always having to be timely in openings and closures of operations.
Despite the value of the tool, whether or not it is effective depends on its use, in total responsibility: the EA, understood in this way, will become an additional weapon with which to face the markets.
Backtests
The backtest results reflect our historical data. Likewise, the operating conditions (spreads, commissions...) are related to the broker used. Normally the cryptocurrency swap is expressed in percentage points.
The Strategy Tester does not calculate the swap when it is expressed in percentage points.
We therefore recommend that you carry out the necessary backtests yourself and subtract the swap from the result they provide (one method could be to multiply the daily spread by the average amount of trades made, and multiply again by the total duration of the trades performed by the backtest ; now subtract the result from the profit).
Inputs
Firs of all, it is specified that the choice of the timeframe does not influence the operation of CryptoTrading.
Please note: In the value to be entered, write all lowercase, exactly as shown here. For numbers, use a period instead of a comma. It is strongly recommended to momentarily deactivate the EA (“Algo Trading” button) before modifying any parameter.
The description of the variables follows.
- EA no...
It is extremely important to set a different number for each EA used (any whole number). In fact, this parameter allows the EA to recognize the positions.
- weekday ON
Report the days of the week, in English, in which you want to activate the opening of positions (it has no effect on closing). Separate the days with a comma (e.g. monday, tuesday...). It reiterates the exclusive use of the lowercase.
The reference time is that of the server, shown at the top left of the platform.
- weekday OFF
Enter the days of the week, in English, in which you want to disable the opening of positions (it has no effect on closing). Separate the days with a comma (e.g. saturday, sunday...). It reiterates the exclusive use of the lowercase.
The reference time is that of the server, shown at the top left of the platform.
- start time
Time at which the EA can start opening positions (has no effect on closing), in hh:mm format, for example 09:30.
The reference time is that of the server, shown at the top left of the platform.
- end time
Time at which the EA finishes opening positions (has no effect on closing), in hh:mm format, for example 09:30.
The reference time is that of the server, shown at the top left of the platform.
- spread filter
Value of the spread in pips above which the EA does not open positions.
By entering 0, no filter will be applied.
Please note: In order not to complicate the calculations, our EA does not distinguish between pips and pipettes, but always considers the smallest value reported by the broker on the platform. For example, if the price is 1000.00, a value of 100 pips equals 1.00
- opening - fast mode
Determines the opening direction of fast mode positions. It does not affect the closing of positions.
Long trades only: buy
Short trades only: sell
Both directions: buy & sell
Leave empty if you don't want to trade in fast mode.
- opening - slow mode
As above, but in slow mode.
Leave blank if you don't want to operate in slow mode.
- lots or money?
It determines how to indicate the amount of positions that will be opened, whether in lots or in cash, and therefore has an influence on the "volume" parameter.
In lots: lots
In money: money
- volume – fast
Opening volume of positions - in fast mode - in lots or in money, depending on the parameter "lots or money?" set to. Below some examples.
In lots: 0.1
In money: 5000
The cash amount will be in the reference currency chosen for the platform.
The lots depend on the fractionation adopted by the broker, some brokers allow minimum lots of 0.01, others only 0.1, and so on.
Due to the tiered nature of the lots, the exact amount of the cash value is the result of rounding.
- volume – slow
As above, but in slow mode.
- ratio – fast
Expresses the volume as a percentage of the balance, relative to the fast mode, and nullifies the previous volume parameters.
E.g. setting a value of 50, the EA will open positions with a volume of 50% of the balance (the "%" symbol should not be reported).
With a value of 0, the parameter is deactivated.
The cash amount will be in the reference currency chosen for the platform.
Due to the stepped nature of the lots, the exact amount is the result of rounding.
- ratio – slow
As above, but in slow mode
- exchange rates
Fundamental parameter if the amount is expressed in money or with the "ratio", whereas it does not have no effect if in lots.
Expresses the exchange rate against the US dollar, i.e. the dollar value of the reference currency of your account. The value must always be related to the unit, thus considering how many dollars a single unit of its currency is worth. For example, if your currency is euro, taking the exchange rate of 10 January 2023 as a reference, you will need to set 1.0723.
Logically, if your currency is the US dollar, the parameter is 1.
Please note: The exchange rate - if effective - must be periodically updated according to rate fluctuations.
- closing – fast
To activate the automatic closure of open positions in fast mode: ON
To deactivate the automatic closure of open positions in fast mode: OFF
The parameter does not affect closures due to: Stop-Loss, Take-Profit, Trailing-Stop , break even point (in addition of course to the forced closures applied by the broker).
- closing – slow
As above, but in slow mode
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Many of the subsequent parameters are set to 0 by default. They are not strictly necessary since the EA automatically closes trades on breaking of supports and resistances (as long as the previous "closing" parameter is set to ON), but you can change them if you want to customize the strategy, especially for mixed trading discretionary - automatic.
- SL – fast
Stop-Loss expressed as a percentage of the opening price (the "%" symbol should not be reported), applied to positions that will be opened in fast mode. For example, if the value 5 is entered, future positions will have a Stop-Loss 5 percentage points away from the opening price.
Already open positions will not be affected. If the parameter is 0 the Stop-Loss will not be applied.
The exact closing time depends on market conditions and possible connection delays and may be subject to more or less significant fluctuations.
If for “buy” openings the reference price is “ask”, for closing them it is “bid”. Vice versa with “sell” operations.
- SL – slow
As above, but in slow mode
- TP – fast
Take-Profit expressed as a percentage of the opening price (the "%" symbol should not be included), applied to positions that will be opened in fast mode. For example, if the value 5 is entered, future positions will have a Take-Profit at a distance of 5 percentage points from the opening price.
Already open positions will not be affected. If the parameter is 0 the Take-Profit will not be applied.
The exact closing time depends on market conditions and possible connection delays and may be subject to more or less significant fluctuations.
If for “buy” openings the reference price is “ask”, for closing them it is “bid”. Vice versa with”sell” operations.
- TP – slow
As above, but in slow mode
- T. Stop – fast
Trailing-Stop expressed as a percentage of the profit (the "%" symbol should not be reported), applied to positions that will be opened in fast mode. For example, if you enter the value 30, the Trailing Stop will remain approximately 30% away from the interim gain generated by the trade during its course. Already open positions will not be affected. If the parameter is 0, the Trailing-Stop will not be applied. To work, it is also necessary to set the Trailing-Start parameter of the relative mode.
The trailing stop is updated in steps equal to 10% of the same, subject to minimum limits imposed by the broker and the platform.
The exact closing time depends on market conditions and possible connection delays and may be subject to more or less significant fluctuations.
- T. Stop – slow
As above, but in slow mode
- T. Start – fast
Trailing-Start, i.e. the gain level above which the Trailing-Stop is activated, applied to positions that will be opened in fast mode. This parameter is expressed in pips. For example, if the value 1000 is entered, the Trailing-Stop will only activate once the 1000 pip gain has been crossed. Already open positions will not be affected. If the parameter is 0, both this parameter and the trailing stop of the relative mode will be deactivated.
Please note: In order not to complicate the calculations, our EA does not distinguish between pips and pipettes, but always considers the smallest value reported by the broker on the platform. For example, if the price is 1000.00, a value of 100 pips equals 1.00
- T. Start – slow
As above, but in slow mode
- BEP – fast
Break Even Point applied to positions that will be opened in fast mode. This parameter sets the gain level from which the operation, if reversed, would be closed evenly. This parameter is expressed in pips (the value of a pip is normally 0.01, for example 0.01 BTCUSD). For example, if you enter the value 1000, once that threshold has been crossed, the position will be closed before it can make a loss. Already open positions will not be affected. If the parameter is 0 the break even point will not be applied.
The exact closing time depends on market conditions and possible connection delays and may be subject to more or less significant fluctuations.
Please note: In order not to complicate the calculations, our EA does not distinguish between pips and pipettes, but always considers the smallest value reported by the broker on the platform. For example, if the price is 1000.00, a value of 100 pips equals 1.00
- BEP – slow
As above, but in slow mode
Disclaimer
CFDs are complex instruments and come with a high risk of losing money due to leverage. Over 75% of retail accounts lose money when trading CFDs. Consider whether you understand how CFDs work and whether you can bear the high risk of losing money.
Using CryptoTrading does not reduce the risk of losing your money.
CryptoTrading is aimed at experienced traders; it does not replace the natural person in market analysis and is to be considered as an aid to discretionary operations.
Neither the software nor the programmers can in any way be held responsible for any loss of money.
Results obtained using historical data (backtests) do not guarantee future results and do not represent a forecast.
Like any software, even CryptoTrading can be subject to bugs and programming errors.
