In times of high volatility, it is important to follow a market-neutral strategy to protect your hard-earned assets. The simple script employs common buy/sell and/or divergencies signals from the VuManChu Cipher B indicator with fixed stop losses and takes profits. The signals are filtered by a local trend of a coin of interest and the global trend of Bitcoin. These trends-filtered signals demonstrated better performance on most of the back- and forward- tests for USDT cryptocurrency futures. The strategy is based on my real experience, it's a diamond I want to share with you.
In terms of visualization if the background is red and the price is below the yellow line then only a short position can be opened. Conversely, if the price is above the yellow line AND the background is green only a long position can be opened.
Inputs from VuManChu you can find on the top. Frankly, I do not know how they can help you to improve the performance of the strategy. My inputs of the script you can find in "Trend Settings" and "TP/SL Settings" at the bottom.
The checkbox "Only divergencies" lets to broadcast only more reliable buy/sell signals for a cost of rare deals. The checkbox "Cancel all positions if price crosses local sma?" makes additional trailing stop loss. Usually, this function increases the win rate by "smoothing" the risk/reward ratio, as a usual stop loss does. You can tune SL/TP based on backtesting.
To connect the script to Finandy just edit "name" and "secret" to connect your webhook (see the bottom of the script).
The rule of thumb for the strategy is "only divergencies" - ON, high reward/risk (TP/SL) ratio, 5 min timeframe on chart help with performance.
Finally, I am looking forward to feedback from you. If you have some cool features for my script in your mind, do not hesitate to leave them in the comments.
Hi, the script works only with Finandy? Any chance to connect via API to another platform like ByBit or 3Commas? Thanks
Cherepanov_V
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@Pako1981, to make it work on 3commas you should change in the function "strategy.entry" parameter "comment" a little (see lines 436 and 442)
VictorVCZ
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Hello! Thanks for the scrip! i will test it. Do you have a pdf or a guide to set the scrip with finandy to automatize the entrys?
Cherepanov_V
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@VictorVCZ, unfortinately, I don't have any guide for automation. I can recommend official finandy guide and pine script user manual from trading view.
Luapnitram
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Hi, interesting job ! Why the strategy is backtesting only over the past 30 days ?
Cherepanov_V
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@Luapnitram, Hello! I guess this is a limitation of this platform.
galitzullin
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Привет! Спасибо за скрипт. У меня есть пару вопросов по работе с ним. Как можно с тобой связаться?
Cherepanov_V
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@galitzullin, you can click on my profile and text a private message.