The Bitsgap Buy-The-Dip (BTD) bot offers a range of customization options to help you personalize your trading strategy. In this article, we will take a closer look at the manual adjustment settings, including how to set up high and low prices, adjust grid step and grid levels, and manage risks with a trailing stop loss and take profit.
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When setting up a new BTD bot, the "Manual adjustment" section allows you to customize your bot's settings. To access these settings, click on the [Manual adjustment] button.
📈 Setting High and Low Prices
When you start a bot, the system sets the lower and upper limits of the trading range automatically. Orders above the current price will be your initial sell orders, and orders below the current price will be your buy orders.
However, you can manually adjust the range according to your trading strategy by entering values in the "Low Price" and "High Price" fields or by moving the levels on the chart.
📑 Note: Changing the low or high prices will only affect the number of grid levels and not the grid step percentage.
💰 Adjusting Grid Step and Grid Levels
The "Grid levels" parameter reflects the number of open orders your bot will create, while the "Grid step" represents the price distance between those grid levels. These two fields are interconnected, meaning that a change in one parameter will affect the other. Here are a few examples:
Wider grid: Increasing the grid step percentage (1%< grid step) will reduce the number of grid levels and result in higher profit but longer trade times.
Narrow grid: Decreasing the grid step percentage (>1% grid step) will increase the grid levels and provide less profit per trade but faster trade time.
It's essential to find a balance between speed and profit when adjusting these settings based on the current market volatility.
💡 Pro tip: Bitsgap team recommends using wider grid setup on a highly volatile market and a narrow grid if the market is flat.
📉 Following a Trend with Trailing Down
The Trailing feature can be useful when the price moves out of your initial grid range. In this case, the Trailing feature automatically cancels the top sell orders of your BTD bot and places new ones at the bottom of the grid, allowing your bot to follow a trend without adding further investments or changing bot settings. This feature is activated automatically, but you can choose to disable it at any time.
🚫 Managing Risks with Trailing Stop Loss
A Stop Loss (SL) can limit losses if the trend changes and the price moves in the opposite direction.
The system sets the SL level at 3% above the upper sell order by default, but you can choose a specific price where the stop loss should be triggered. With the Trailing SL feature, the SL level will also shift with the price range when the grid is moved by the Trailing Down feature.
Once the SL condition is met, the bot stops trading and buys back the base currency using the quote funds from the bot's buy orders. The bot is then transferred to the "Spot History" tab.
💵 Locking in Returns with Take Profit
A Take Profit (TP) feature allows you to close the trading bot and buy back the base currency when the price reaches a specific profit condition.
The TP is set at a certain percentage based on the Total PNL metric from the bot's view window. This allows you to lock in a certain amount of return from the bot.
Overall, the Manual Adjustment section in the BTD bot provides a range of options to help you customize your bot's settings and personalize your trading strategy. Remember to test different settings and find the best balance between speed and profit for your strategy.