Indeed! I’ve already begun thinking of better ways to build out the bots I’ve been working on from what @Mike_Fishy has shared.
Not quite done with the entry decision making bots that find great set ups, but In the meantime, I came up with a new one called “Hawker” for coins that are just going insane lately, like ONT. I call it the “Hawker” and his job is to sell at the highest price possible, without letting price regress too much. Basically, I do the TA to decide likely range of the price spikes and I set a target price accordingly. If the ensuing action breaks out and drives towards that price, it sells as soon as met. If it climbs high and starts to retrace, then sell out at some percentage of that retracement (right now, I’m trying Fibb 0.286 as the threshold retracement range).
The most interesting thing about building bots is that it absolutely forces you to break down to finest details what you’re otherwise doing when conducting TA on the charts and making assessments on what’s about to happen. I also find myself getting better at defining precisely my exit strategies at the outset of every trade.
So from that standpoint, writing your own bots makes you a better trader. And Fishy, #3, “Bots can help stabilise the market and reduce massive falls” belongs in both categories because bots both contribute to destabilizing as well as stabilizing markets. I think principally, bots provide liquidity.