(Closed) Butter Bot!: Premier Bitstamp, and BTC-E EMA Trading Platform (Closed)

[fible1]

Hi All ,

I have gotten some private queries about this so I thought I would write a post:

We have looked very seriously into both the arbitrage bot idea and the stock bot idea;

1. Stock bot is build-able but currently there is not enough liquidity in any of the existing stock markets to make it profitable (we think).

2. The arbitrage bot can not be built as no other mutli-crypto exchange (besides BTC-E) has the API support needed for the build. The best we could do would be an alert module; we feel it is best to wait here until the API support exists to build a proper platform.

This brings me to another point:

We are still looking to expand our product lineup, is there anything else you guys would like to see built? We would like to build automation tools, but if there are specific pieces of software you guys would like to help with your trading we would like to hear about it.

As always, we are at your service .

Pablo.

[Grinny]

First of all, you're doing a great job, Pablo.
The way you communicate with your customers is exemplary!

I don't have any idea regarding a new product, but I think that there are one or two possibilities that could still improve the butterbot in it's current state:

The first thing was mentioned a few times here in the thread, but i think we didn't get any official statement from you:
Can you implement an option so that we're able to test our settings against the historical data of one of the three implemented trading plattforms - instead of only testing against mtgox??
There are differences in the prices of btc on all plattforms, especially since mtgox stopped the withdrawing of usd - so it would be veryyyyy interesting to test the settings i.e. for the last 6 month on bitstamp.

Do you think it might be better/safer to have an option which locks the bot's settings by adding a 2FA like google? So that noone is able to change your settings without entering the 2FA code?
Don't know if we need this, it just came up my mind, because i thought about renting a small linux server in a colocation on which the bot can run 24/7.

Last but not least, a general question about the testing mode:
The possible earnings (%) that are shown after running the test, are they calculated on the fact that i won't touch my money/btc at all? So that my earnings grow exponentially the longer i don't withdraw them, because the trade volume gets bigger and bigger? Or does the amount not impair the % earnings?

Best,
Grinny

[fible1]

First of all, you're doing a great job, Pablo.
The way you communicate with your customers is exemplary!

I don't have any idea regarding a new product, but I think that there are one or two possibilities that could still improve the butterbot in it's current state:

The first thing was mentioned a few times here in the thread, but i think we didn't get any official statement from you:
Can you implement an option so that we're able to test our settings against the historical data of one of the three implemented trading plattforms - instead of only testing against mtgox??
There are differences in the prices of btc on all plattforms, especially since mtgox stopped the withdrawing of usd - so it would be veryyyyy interesting to test the settings i.e. for the last 6 month on bitstamp.

Do you think it might be better/safer to have an option which locks the bot's settings by adding a 2FA like google? So that noone is able to change your settings without entering the 2FA code?
Don't know if we need this, it just came up my mind, because i thought about renting a small linux server in a colocation on which the bot can run 24/7.

Last but not least, a general question about the testing mode:
The possible earnings (%) that are shown after running the test, are they calculated on the fact that i won't touch my money/btc at all? So that my earnings grow exponentially the longer i don't withdraw them, because the trade volume gets bigger and bigger? Or does the amount not impair the % earnings?

Best,
Grinny

Hi Grinny ,
  Let me take your questions one at a time:

1. "Can you implement an option so that we're able to test our settings against the historical data of one of the three implemented trading plattforms - instead of only testing against mtgox??"

We would very much like to implement this in V3, I don't forsee an issue with that thus far.


2. "Do you think it might be better/safer to have an option which locks the bot's settings by adding a 2FA like google? So that noone is able to change your settings without entering the 2FA code?"

There really is no need since the bot runs on your own system, if you have been compromised to the point the attacker can change your settings, that will be the least of your problems. Now if at some point in the future we decide to release a hosted version of the bot, then yes, I feel like 2FA would be invaluable and completely necessary.


(Edit) 3. "Last but not least, a general question about the testing mode:
The possible earnings (%) that are shown after running the test, are they calculated on the fact that i won't touch my money/btc at all? So that my earnings grow exponentially the longer i don't withdraw them, because the trade volume gets bigger and bigger? Or does the amount not impair the % earnings?"

I have been told that the previous example I had here was subject to misinterpretation so I will answer the question more directly: If you withdraw money early, you will be affecting how much you make later on because the % profit will be affecting less money. The more money you have in with a 20% profit the more money you will make, 20% of 100 is more than 20% of 50.

I hope that answers your question more directly.

Please let me know if you need anything .

Pablo.

[jpmi1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

[fible1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

[jpmi1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

[fible1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

Hi ,
  You should have received the Butter-Bot user manual in the demo email which gives you step by step instructions. If you have not, please PM your email address and I will send it to you. That's the easiest way for me to help you as it includes step by step instructions to set up the API as well as illustrations .

Pablo.

[jpmi1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

Hi ,
  You should have received the Butter-Bot user manual in the demo email which gives you step by step instructions. If you have not, please PM your email address and I will send it to you. That's the easiest way for me to help you as it includes step by step instructions to set up the API as well as illustrations .

Pablo.

I now have it setup. What will happen when the 3 day free trading is over?

[fible1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

Hi ,
  You should have received the Butter-Bot user manual in the demo email which gives you step by step instructions. If you have not, please PM your email address and I will send it to you. That's the easiest way for me to help you as it includes step by step instructions to set up the API as well as illustrations .

Pablo.

I now have it setup. What will happen when the 3 day free trading is over?

After 3 days your trial will expire and your bot will stop working. Feel free to download another trial key if you like, you are not limited to one.

I encourage you to keep in mind that the trial is not intended for you to judge profitability, that would take several weeks, but rather for you to get a feel for the tools the bot has to offer. Community feedback and back testing are the best indicators of profitability.

Please do not hesitate to let me know if you need anything .

Pablo.

[jpmi1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

Hi ,
  You should have received the Butter-Bot user manual in the demo email which gives you step by step instructions. If you have not, please PM your email address and I will send it to you. That's the easiest way for me to help you as it includes step by step instructions to set up the API as well as illustrations .

Pablo.

I now have it setup. What will happen when the 3 day free trading is over?

After 3 days your trial will expire and your bot will stop working. Feel free to download another trial key if you like, you are not limited to one.

I encourage you to keep in mind that the trial is not intended for you to judge profitability, that would take several weeks, but rather for you to get a feel for the tools the bot has to offer. Community feedback and back testing are the best indicators of profitability.

Please do not hesitate to let me know if you need anything .

Pablo.

Ok well I am currently trading with 0.05 btc I am guessing not much is going to happen. What can I expect with this low of funding?

[fible1]

What could I do with 11 btc? How long would it take to make up the initial cost of $90.00?

Thanks,
jpmi1

Hi JP ,
   This really depends on a lot of factors; from back testing it should take you a relatively short period of time, several weeks to make back 10% (90 USD) but you have to keep in mind that the math behind EMA works best when profit is measured over longer periods of time. So to answer your question more fully, with 11 BTC you should make back 10% pretty quickly, but then again, there are no guarantees in live market trading. What I can tell you is that the longer you use EMA trading for correctly, the more likely you are to profit.

Pablo.

Thank You
I downloaded the test version. How do I find the API for mtgox?

Hi ,
  You should have received the Butter-Bot user manual in the demo email which gives you step by step instructions. If you have not, please PM your email address and I will send it to you. That's the easiest way for me to help you as it includes step by step instructions to set up the API as well as illustrations .

Pablo.

I now have it setup. What will happen when the 3 day free trading is over?

After 3 days your trial will expire and your bot will stop working. Feel free to download another trial key if you like, you are not limited to one.

I encourage you to keep in mind that the trial is not intended for you to judge profitability, that would take several weeks, but rather for you to get a feel for the tools the bot has to offer. Community feedback and back testing are the best indicators of profitability.

Please do not hesitate to let me know if you need anything .

Pablo.

Ok well I am currently trading with 0.05 btc I am guessing not much is going to happen. What can I expect with this low of funding?

Hi ,
  Not much at all really, but it's a good number to test the bot's tools out with.

[pacojones]

I'm new to butter-bot so this may be an ignorant question but I'm wondering about exchange history and if there is a best exchange to 'invest in' - meaning, butter-bot supports btce, mtgox and bitstamp.  As a trial I put 1/3 of my coins in each exchange and I'm watching, backtesting, reading, etc.  I then thought "why don't I put this all in mtgox, it's the most volatile (in terms of USD swings).  Now, I'm not sure this is a good strategy...  If this is asked and answered, sorry!  I'd appreciate any input...

[fible1]

I'm new to butter-bot so this may be an ignorant question but I'm wondering about exchange history and if there is a best exchange to 'invest in' - meaning, butter-bot supports btce, mtgox and bitstamp.  As a trial I put 1/3 of my coins in each exchange and I'm watching, backtesting, reading, etc.  I then thought "why don't I put this all in mtgox, it's the most volatile (in terms of USD swings).  Now, I'm not sure this is a good strategy...  If this is asked and answered, sorry!  I'd appreciate any input...

Hi Pacojones ,
   This is a complex question because it does not depend on 1 factor. For example currently Mt. Gox is pretty volatile, and our back testing engine pulls all its data from there (the new release will have independent back testing for each exchange) so here you have a pretty good idea of what your settings will do. But given the fact the Mt. Gox is taking 7 weeks to process withdrawals, and that the U.S. government is looking to prosecute them for Money Transmission violations, it may not be the safest place to be at right not.

BTC-E is a pretty decent exchange with alt-currency support which will be part of Butter-Bot in future versions so it may be a good place to nest.

Bitstamp seems all round solid as well but it's not as reactive as Gox.

So I guess my advice would be either BTC-E or Bitstamp because although Gox is probably more volatile and this would likely be better for trading, there are a lot of unknowns there right now.

Hope that helps .

Pablo.

[wantaduff]

Does the bot also work when my pc is offline?

WantaDuff

[pacojones]

Does the bot also work when my pc is offline?

WantaDuff

I asked the same question - you have to leave your machine powered on with Chrome running for the bot to work

[wantaduff]

allright, thanks!

[wantaduff]

hey there again 

how does the updates work for the bot?
Do you attach the updated extensions in a email or does it check updates itself?

WantaDuff

[fible1]

hey there again  

how does the updates work for the bot?
Do you attach the updated extensions in a email or does it check updates itself?

WantaDuff

Hi Wantaduff ,
   Up to know we have been attaching the updates to a mass Blind (BCC) email. (EDIT) The current release of the bot includes a feature to alert you when a new version is available so that you can download it on your own .

Please do not hesitate to let me know if you have any other questions .

Pablo.

[wantaduff]

hey there again 

how does the updates work for the bot?
Do you attach the updated extensions in a email or does it check updates itself?

WantaDuff

Hi Wantaduff ,
   Up to know we have been attaching the updates to a mass Blind (BCC) email. The next release of the bot should include a feature to alert you when a new version is available so that you can download it on your own .

Please do not hesitate to let me know if you have any other questions .

Pablo.

ok, thanks for the information 

[pacojones]

I'm a new user and I know this is a 'long term' strategy but I've been tracking the buys and sells and in the past few days the bot has bought high and sold low - I've lost 10% - I know silk road was just shut down and there was a panicked sell off but here is an example of the buy sells that I'm seeing:

Yesterday
2:08 PM – bitstamp triggered buy $127.50
2:08 PM – btce triggered buy $124.30
Today
2:08 PM – btce sell order triggered $94.90
2:07 PM – bitstamp sell order triggered $93.00

Is this just because of the blip or is this thing out to get me??  This would be a big deal but I'm trading a low volume while I figure out how the software works...

BTW - I've configured the recommended settings - 2 hours, 0/.25 for both buy & sell - 7 minute tick, etc.  following the setup guide.  Looking at the charts for the exchanges I see that the swing probably started and stopped too quickly for a 2 hour window (hence the 'long term strategy comment') I'm just wondering if this is expected.  It's as if I've configured the software backwards!