Setting up an algo bot, need suggestion. Why are some traders so against Indicators?
Im someone whos been paper trading using an algo bot, im doing kind of okay for now. I use indicators in my strategy like EMA and RSI, when i connected with some traders and told them i use indicators they were like it wont work, most people were being negative about it and someone even said my bot wont work at all. I dont know if these people are real traders but i saw their post in reddit claiming huge P&L's and thats why i texted them.
I never back tested my bot and from people i got to know that i should, but im forward testing on most of the days. Im using SmartAPI to get real time data and my bot has been trading. From data collected from SmartAPI, my bot finds EMA and RSI and also a three bucket rule to choose trades. The bot also collects greeks, volume to find volume buy and sell ratio and also finds that days bias using news, fii/dii flow and where other markets heading and using all these data is my bot running. I have also thought of adding some other things to identify to find buy n sell ratio in market but i couldnt yet and more over i didnt do it because i thought my bots working pretty fine for now.
From the beginning its been working pretty well but the problem was identifying when to sell and i had a hard time because of it, i started manually exiting using commands and i was making profit everyday. The bot is able to find the trend but my logic for selling was poor and it ended up being in red after being in green for long. So i started using trail SL but even that wasnt going so well, i used a 4% behind trail and these hit the SL really fast.
I was running this program in my pc all along, i have to run it my pc in the morning and need to keep my pc on till evening which was a hassle. Two days ago i put in a cloud server where i got some credits for free, idk how itll end up but now its running all the time, i dont have to start it during market hours, itll run on its own. I have enough credits for around 3 months, Im thinking of running it for 3 months and seeing how it goes. All the data is being saved in an excel sheet so after 3 i can analyze and find out what happened ig.
A person who claimed to be making around 50 lakhs every week using his algo said mine wont work at all which kinda made me feel bad, idk if hes actually genuine but im also just trying to earn something. Adding screenshots of my logs before i updated my trail SL problem. Itll run on cloud from tomorrow and im very exited to see. The new logic is when profit hits 10 percent of principle amount, SL is shifted to 7 percent and when profit hits 13% SL is moved to 10 percent and trailing SL turns on with 4% trailing behind. Initially the SL is kept at 15% of principle amount.
Ill add the screenshots below,
from 1 to 7 is when there was i had problem with SL, initially when the trade used to be in green making profits but it never hit target so it went down and hit the 15 percent SL and made loss from that, and when i had implemented trail SL because of only 4% trail there was not enough space for the values to breathe and it would go hit it. After this i implemented manual exit in my bot and when 10 percent of profit was made in each trade i exited thats what the profit you see from 8 to 12. New logic has been added like i mentioned above but i dont think its good enough, any algorithm or any logic suggestion would help.
I collect data like this automatically at entry and exit,
Initially when i started i gave the wrong lot size which led to wrong lot size measurement from quantity so i know the pnl would have some changes but being able to make profit or finding trends regardless of the lot size is impressive i think, forgive me if im wrong. I fixed it now and now its proper, even some trades made in the last three traded days i used proper lot sizes. If you look closely you can see alot of manual exit and most of the manual exit made money and where as alot of trail sl made loss and likewise every data will be collected.
The alerts of taking trades and sending commands is being send through telegram because its free and fast,
Some people before asked me if they can see how it works so i made another channel to send the same messages to that, if anyone is interested i can add you guys for free.
Any suggestion or tip would help alot guys, im hoping for the best from tomorrow.