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trend_ema-en.md

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The trend_ema strategy

  • The default strategy is called trend_ema and resides at ./extensions/strategies/trend_ema.
  • Defaults to using a 2m period, but you can override this with adding e.g. --period=5m to the sim or trade commands.
  • Computes the 26-period EMA of the current price, and calculates the percent change from the last period's EMA to get the trend_ema_rate
  • Considers trend_ema_rate >= 0 an upwards trend and trend_ema_rate < 0 a downwards trend
  • Filters out low values (whipsaws) by neutral_rate, which when set to auto, uses the standard deviation of the trend_ema_rate as a variable noise filter.
  • Buys at the beginning of upwards trend, sells at the beginning of downwards trend
  • If oversold_rsi is set, tries to buy when the RSI dips below that value, and then starts to recover (a counterpart to --profit_stop_enable_pct, which sells when a percent of profit is reached, and then dips)
  • The bot will always try to avoid trade fees, by using post-only orders and thus being a market "maker" instead of a "taker". Some exchanges will, however, not offer maker discounts.