VIP bot workshop January 2024

January 25, 2024

Meeting summary for The Trading Parrot’s Zoom Meeting (01/25/2024)
Quick recap
The Trading Parrot and Flavio discussed the potential implementation of accumulation bots for long-term cryptocurrency investors. They also explored the challenges and considerations when users enter into trading deals, the difficulties of backtesting trading strategies, and the issues related to editing and connecting scripts on a trading platform. The possibility of automating the purchase of indicators and the functionality of a trading system, Luxalgo, were also discussed. They also touched on the impact of fees on trading outcomes and the potential of a long-term strategy with a fixed stop loss and take profit.


Summary
Crypto Bots for Long-Term Investors
Trädεr Jöε and The Trading Parrot discussed the possibility of implementing accumulation bots for cryptocurrency investors who prefer long-term investments. They agreed on the potential user base for slow, safe, and long-term copy trading bots, with their success depending on their ability to adapt to market conditions. The Trading Parrot highlighted the variability of bot performance depending on the asset type and market trends, cautioning that back testing could be risky. They also discussed the transition of some copy trading bots to running with their own funds, noting the pros and cons. The Trading Parrot mentioned that the recordings of these meetings would be posted on a private Youtube link for VIP members. Flavio inquired about the availability of these bots, which The Trading Parrot confirmed were mostly available.
Trading Challenges and Withdrawal Management
The Trading Parrot discussed the potential challenges and considerations when users enter into trading deals, particularly in the case of a drawdown. The discussion highlighted the difficulty of managing withdrawals in such situations and the need to experiment with different strategies to ensure they can be granted. The Trading Parrot also mentioned the absence of notifications for withdrawal requests and the necessity to coordinate with the team to ensure cash is available for withdrawal. Flavio was invited to bring his questions and topics for further discussion.
Backtesting Trading Strategies: Challenges and Alternatives
Flavio and The Trading Parrot discussed backtesting trading strategies, with a focus on intra-candle signals. The Trading Parrot emphasized the challenges of accurate backtesting, particularly with tools like Trading View, and suggested considering other platforms like MetaTrader or Ganium for more comprehensive data. They also touched on the potential of using real-time liquidation data for trading, with The Trading Parrot mentioning that Week Hunter is set to release a backtesting tool for this data. Flavio expressed interest in exploring these alternatives and creating his own script.
Script Editing and Trading Platform Limitations
Flavio and The Trading Parrot discussed issues related to editing and connecting scripts on a trading platform. The Trading Parrot explained that editing a script’s source can lead to unexpected deletions and issues. He advised Flavio to always connect to another source before saving edits to avoid these problems. They also discussed the platform’s limitations, such as the inability to have multiple sources in the past and the technical issues that arise when editing scripts. The Trading Parrot suggested using plugins to avoid these issues, as they are faster to update and do not cause the same problems.
Automating Indicator Purchase Discussion
Flavio and The Trading Parrot discussed the potential of automating the purchase of indicators. The Trading Parrot suggested showing Flavio around their system and encouraged the sharing of ideas. They reviewed the three premium indicators offered by The Trading Parrot’s platform, which include oscillator map matrix, price action concepts, and back testers. The Trading Parrot explained that these indicators can be combined with each other and discussed their individual functions. Flavio expressed interest in learning more about these indicators, and they agreed to start with the oscillator.
Luxalgo Trading System Discussion
The Trading Parrot discussed the functionality of a trading system, Luxalgo, which can identify trading opportunities based on various parameters. The system allows users to define conditions they believe might be profitable. The Trading Parrot also mentioned the system’s back testing capabilities and its ability to send alerts. However, the alerts are not necessarily hits and do not keep track of open trades. The Trading Parrot also suggested that users might need to spend a significant amount of time understanding price action concepts to effectively use the system. Flavio participated in the conversation, but his main contributions were to ask questions and acknowledge the information provided by The Trading Parrot.
Custom Alert Condition Highlighter Implementation Discussed
The Trading Parrot discussed the implementation of a custom alert condition highlighter in their system, which allows users to connect indicators to their trading systems and backtest certain conditions. However, concerns were raised about the system’s ability to handle complex alert conditions. Flavio and The Trading Parrot also discussed the functionality and value of various trading tools and indicators. The Trading Parrot expressed the opinion that Lux Algo’s offerings were not significantly different from free resources available elsewhere. Flavio showed interest in automating trades and implementing safety orders, which The Trading Parrot confirmed were possible using the Absolute No indicator. The Trading Parrot suggested sticking to a single indicator for consistency.
Trading Platform Capabilities and Limitations
The Trading Parrot and Flavio discussed the capabilities and limitations of a trading platform. They explored the current availability of stop loss and take profit features, and the lack of an option to connect take profit to ATR. They also discussed the potential to manage risk-reward ratios and the need for more updates. The platform’s alert system was also discussed, but there was uncertainty about the possibility of integrating external VPS and SLs. The conversation clarified that the platform acts as a limit order in backtesting, but this may not be the case in actual trading. The relevance of this discussion for potential users of the platform was also highlighted.
Testing Long-Term Strategy With Fixed Stop Loss
The Trading Parrot discussed testing a specific setup with a fixed stop loss and take profit, emphasizing its effectiveness. The conversation also touched on the performance of a long-term strategy that had survived a bear market and was currently being tested on various coins like Ethereum, Cardano, XRP, Solana, ADA, Atom, and Link. The Trading Parrot suggested this strategy as a decent alternative for those seeking a long-term investment with lower risk. Flavio expressed interest in the information shared.
Impact of Trading Fees on Profits Discussed
Flavio and The Trading Parrot discussed the impact of fees on trading outcomes. They explored how fees, such as maker and taker fees and commission, can significantly affect profits, especially on smaller timeframes. The Trading Parrot explained the concept of aiming for a total take-profit that is higher than the fees to offset costs. They also discussed the challenges of scalping in high-fee exchanges and the advantages of becoming a VIP trader. The Trading Parrot emphasized the importance of understanding the fees in relation to the profits one is aiming for. The conversation concluded with The Trading Parrot mentioning an upcoming AMA session for further discussions.
Next steps
• Flavio will consider using other platforms like MetaTrader or Ganium for more accurate backtesting.