Trading Automation: Ideas, Needs, and Implementations

[EarnOnVictor]

I never knew the importance of trading automation until I started it myself. Despite trading for over 20 years in the manual way, I'm now lazy to even analyse the chart again, despite still achieving the same goal in a better way. TBH, this is what many traders should look into, and this is beyond why brokers/exchanges have put in place for us, but what we can coordinate as a combined units into one system, which entails everything possible that a trader could need, especially the entry/exit logic and the management thereof. This also helps our psychology.

Could you share a bit more about your experience?

How did you get started?
When did the idea of automating your trading first occur to you?
Did you encounter any difficulties during the transition?
Also, does your automation script run on a server, or do you run it locally on your own PC or laptop?

1. Like anyone else in my old school era, I started with the reading (theory), then graduated to the demo trading (practical), and after a year+, funded my account, which I lost. I continue losing money for many years and continued learning more in the process. I never leave trading ever since then.

2. I recently conceived the idea of automated trading. Though I knew of it from day one, I didn't give it a chance, particularly for the fact that I was not a coder, and of course, I didn't want to trust anyone with my logic.

3. Of course, transitioning from a 100% manual to an automated trading can't be without issues. There were a lot of bugs and optimisations to fix and do respectively. Thankfully, I ran it extensively on a demo account to avoid catastrophes to my money. There are many, but just one example, there was a time when one of my EAs was just opening and closing orders repeatedly and lost a huge amount doing that despite being using that same EA for several months. I corrected it and had been working fine. There were over 50 different improvements/optimisations, so it wasn't easy, and it tooke.many months. Though the first prototype was within a few days.

4. I am a Nigerian, so I can't depend on my local terminal, electricity and Internet. I pay for some subscriptions monthly to host them.

[Jatiluhung]

Actually, it would be very helpful if there were a bot in the futures market that could automatically adjust stop-loss positions, specifically, I’d like a tool that can automatically move the stop-loss level. For example, when we’re in a profitable position and the price still has the potential to keep rising, the stop-loss level could automatically move to a point that still gives us a profit. Because sometimes we’re too lazy to manually adjust our stop-loss levels when we’re in a profitable position. Or sometimes we just forget.
In trading bots, there are actually settings that are somewhat similar. But they don’t fully meet my expectations.

And actually, exchanges like Binance already have this feature, called a trailing stop. but for some reason, it still doesn’t quite meet my expectations. I want something more responsive and faster.

But I just searched on Google and found 3Commas & Cronix, which seem to support trailing stop-loss features. Has anyone tried them?

[Criptano]

Actually, it would be very helpful if there were a bot in the futures market that could automatically adjust stop-loss positions, specifically, I’d like a tool that can automatically move the stop-loss level. For example, when we’re in a profitable position and the price still has the potential to keep rising, the stop-loss level could automatically move to a point that still gives us a profit. Because sometimes we’re too lazy to manually adjust our stop-loss levels when we’re in a profitable position. Or sometimes we just forget.
In trading bots, there are actually settings that are somewhat similar. But they don’t fully meet my expectations.

And actually, exchanges like Binance already have this feature, called a trailing stop. but for some reason, it still doesn’t quite meet my expectations.
I want something more responsive and faster.

Oh, thank you! This is a very interesting and highly relevant topic.
We can absolutely automate position management.

Here are a few possible ways to implement a trailing stop:

• Classic trailing stop — a fixed distance from new highs.
• ATR-based trailing stop — the distance depends on volatility, for example, ATR(7) multiplied by a coefficient.
• Trailing stop based on candle lows — the stop follows new higher lows at a certain distance, making it possible to stay in long-lasting trends.
• Another option is not to move the trailing stop immediately, but instead to base adjustments on the last two completed candles, helping to filter out short-term spikes and false triggers.

Implementing functionality that supports solutions like these is entirely feasible.
It's an interesting challenge, and if there is genuine demand for it, I could take on the task of developing it.

I would also add a break-even mechanism to the position management system, with customizable conditions.
For example, once the price moves 2% in profit from the entry point, the stop could be moved to 0.5% above the entry price, after which the trailing stop logic would take over.

[SquallLeonhart]

While I respect anyone who wants to do this, specially with the rise of AI and how it will impact the trading world big time, I still do not prefer it. I understand if you make an AI, from scratch, that is perfect trading tool, then it will help traders a ton. But I also have a belief that if we all used the same tool, then it would not work. Because it will tell us there is opportunity to make money somewhere, and if we all do it, then it will not make profit at all, eventually some of us will fail. I just want to be opposite of that, not with that.

Trading automation must be a dream for every trader and for my self as well but practically a set of programming code cannot handle all the situations which are demanded by the market. Even experienced human do fails then expecting some codes to withstand and do profit means almost impossible task in my understanding.

[Emitdama]

Actually, it would be very helpful if there were a bot in the futures market that could automatically adjust stop-loss positions, specifically, I’d like a tool that can automatically move the stop-loss level. For example, when we’re in a profitable position and the price still has the potential to keep rising, the stop-loss level could automatically move to a point that still gives us a profit. Because sometimes we’re too lazy to manually adjust our stop-loss levels when we’re in a profitable position. Or sometimes we just forget.
In trading bots, there are actually settings that are somewhat similar. But they don’t fully meet my expectations.

And actually, exchanges like Binance already have this feature, called a trailing stop. but for some reason, it still doesn’t quite meet my expectations. I want something more responsive and faster.

But I just searched on Google and found 3Commas & Cronix, which seem to support trailing stop-loss features. Has anyone tried them?

I don't think that was laziness but rather that was greediness already if we are not taking actions or adjusting some things in order to possibly reduce our risk and still be on the up side. But if we are genuine and are truly away from keyboard, then yeah that this is one of the good reasons on why they should add such an option.

It is just like it is too good to be true already and we are now going to be unstoppable if such a bot have been improve on that level, which may be the reason on why they don't make it possible up until now. Anyways, mate, you still can try to give a feedback or tell them your suggestions like this to them and see if what they can do about it .

[CONVOAI]

I think the monitoring part is more important than execution in trading automation because many traders have good strategies but it is not possible to be in front of the screen all the time. A system that monitors portfolio, open positions, funding rates, liquidity changes and unusual volume activity and sends Telegram or mobile notifications can be useful. This will allow the trader to quickly catch important changes in the market and reduce unnecessary screen time because many times good setups are created when we are not in front of the chart and later we see that the opportunity has been missed. If the system can filter important changes and alert us then there will be no need to sit and watch the chart all the time and trading will also become much more manageable.

[Criptano]

While I respect anyone who wants to do this, specially with the rise of AI and how it will impact the trading world big time, I still do not prefer it. I understand if you make an AI, from scratch, that is perfect trading tool, then it will help traders a ton. But I also have a belief that if we all used the same tool, then it would not work. Because it will tell us there is opportunity to make money somewhere, and if we all do it, then it will not make profit at all, eventually some of us will fail. I just want to be opposite of that, not with that.

Trading automation must be a dream for every trader and for my self as well but practically a set of programming code cannot handle all the situations which are demanded by the market. Even experienced human do fails then expecting some codes to withstand and do profit means almost impossible task in my understanding.

Thanks for your opinion. I understand you.
And at the same time I'm not talking about AI trading systems that come up with who-knows-what on their own.
I'm talking about automating processes that you already understand well, such as position management, as I described in my previous post.

If you already have clear criteria for entering trades and placing stop losses, then you already have the foundation of a working trading system —
one that can free you from having to sit in front of your computer all the time. You'll be able to spend more time with your family or focus on other important things.

After all, sooner or later, successful traders tend to move away from chaotic, emotion-driven trading
toward a clear set of rules and disciplined execution. Those rules can be formalized and automated.

Please take a look at the story EarnOnVictor shared here:
https://bitcointalk.org/index.php?topic=5585403.msg66834440#msg66834440

This is exactly the kind of situation where automation makes sense: a person learns, gains an understanding of the markets,
becomes consistently profitable, formalizes their trading rules, and then builds automation around them.
From that point on, they mainly supervise the process and periodically refine the system as unforeseen situations arise.