Futures Martingale Bot Instance: How to create it?
Bitget
2023-06-14 14:24
1. How to create a Futures Martingale bot
1. Select the mode
• AI mode: Select your preferred recommended parameters and set your investment amount. You can choose a mode from Conservative, Secure, and Aggressive based on your risk appetite.
• Manual mode: You may adjust the parameters of the Martingale bot according to your trading habits and risk appetite.
2. Creating a bot
• The first order placed in the process of building a position is called the first order. After it is completed, if the price rises/falls beyond the percentage set for safety orders, the first safety order will be made.
• The size of the first order and the multiplier of the safety order amount will affect the subsequent maker order amounts. The larger the multiplier, the greater the difference between the subsequent safety order amounts. The average purchase cost is also continuously reduced.
3. Running the bot
• When the price continues to fall, the long Martingale bot will buy at low prices in batches and sell when the price rebounds.
• When the price continues to rise, the short Martingale bot will sell at high prices in batches and buy when the price falls.
4. Stopping the bot
All orders will be cancelled upon termination of the bot.
If “Sell at Termination” is enabled, the base currency purchased by the bot will be sold with a market order after the bot is terminated. If it is not enabled, all the base currency will be kept in your futures account.
2. A Futures Martingale bot in operation (with BTCUSDT futures as an example)
1. Trigger:
Mode: Instant
Price action (down): 5.00%
Target profit: 10.00%
Margin: 5 times
2. Investment:
First order: 100 USDT
Max safety order count: 4
3. Advanced parameters:
Interval multiplier of the safety order price: 1.5 times
Multiplier of safety order amount: 2.0 times
User funds: 700 USDT
Total funds: 3100 USDT
4. Running the bot
T0 - First order: If the BTCUSDT futures price is 20,000 USDT at the time the bot is created, and the user selects the "Instant" trigger mode, a market order based on the initial order amount at the bot creation time will be placed with an order amount of 100 USDT.
Position (in base currency): 100 ÷ 20,000 = 0.005 BTC
Position (in quote currency): 3100 - 100 = 3000 USDT
Average holding cost = 20,000 USDT
Take-profi t price for this trading cycle: 20,000 × (1 + 10.00%) = 22,000 USDT
Safety order #1: Trigger price: 20,000 × (1 - 5%) = 19,000 USDT, order price: 200 USDT.
Safety order #2: Trigger price: 20,000 × (1 - 5% - 5% × 1.5) = 17,500 USDT, order price: 200 × 2.0 = 400 USDT
Safety order #3: Trigger price: 20,000 × (1 - 5% - 5% × 1.5 - 5% × 1.5^2) = 15,250 USDT, order price: 200 × 2.0^2 = 800 USDT
Safety order #4: Trigger price: 20,000 × (1 - 5% - 5% × 1.5 - 5% × 1.5^2 - 5% × 1.5^3）= 11,875 USDT, order price: 200 × 2.0^3 = 1600 USDT
T1 - Drop in price for a brief time: BTCUSDT drops to 15,000 USDT. In this case, Safety order #1, Safety order #2, and Safety order #3 are executed, but not Safety order #4.
Position (in base currency): (100 ÷ 20,000) + (200 ÷ 19,000) + (400 ÷ 17,500) + (800 ÷ 15,250) = 0.0908 BTC
Position (in quote currency): 3000 - 1400 = 1600 USDT
Average holding cost = (100 + 200 + 400 + 800) ÷ 0.0908 = 16,512.10 USDT
Take-profit price for this trading cycle = 16,512.10 × (1 + 10.00%) = 18,163.31 USDT
T2 - Price rebounds: BTC USDT price reach the take-profit point of 18,163.31 USDT. The take-profit price of this trading cycle has been reached. All positions will be sold and the current trading cycle will end.
Position (in base currency): 0 BTC
Position (in quote currency): 1600 + (18,163.31 × 0.0908) = 3249.23 USDT
Disclaimer
Futures Martingale is a transaction tool. The abovementioned information should not be considered as financial or investment advice from Bitget. Profits fro m Futures Martingale may be impacted by one-sided market conditions or improper price intervals. You can adjust your Futures Martingale bots according to market conditions.
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