DEXBot Fork and Flexible Orders Strategy Announce

DEXBot development was suspended on December 2019 due to lack of funding. The remaining funding was reserved for arbitrage feature development (by another developer) and bugfix maintenance.

Meanwhile, I still need some more features for personal use, and I also willing to share some of these developments with the community. Because I cannot directly commit into main DEXBot repo (and release new versions) due to policy, I decided to move personal developments into own repo. Here is it: https://github.com/bitfag/DEXBot

In this version I don't plan to support a GUI and windows installer. Recommended way to run across all platforms would be running via docker.

Flexible Orders Strategy

This new strategy has been published in my fork (see link above). You can think of this strategy as extension of Relative Orders strategy. But as latter already has lots of options, I decided to separate new functionality into new strategy.

Main feature of this strategy is that it has controlling switches to keep portfolio in some balance, like 80/20 BASE/QUOTE ratio, which is missing from RO strategy. Such switches was requested by users long time ago. The goal is to control how big your position is.

Small difference from RO worth to mention: RO strategy with external center price and "reset on price change" turned on still uses external price once when placing orders. FO strategy performs constant external price monitoring to move orders as fast as external price changed.

From the strategy documentation:

How it works

This is a market-making strategy with relative nature. User can specify order distances (bid, ask) from center price. Order quantities are always set in a percentage form. Multiple orders with defined price increments are supported. User is able to control portfolio ratio, for example stop placing buy orders if BASE value becomes less than 80% of the portfolio value. Strategy can take center price from external source, or from own last trade, or from orderbook condition.

On start, the strategy calculates current center price and places orders according to settings. If reset_on_price_change is set to True, the strategy constantly re-evaluates center price and portfolio ratio and
moves orders accordingly. Otherwise, orders are replaced only after being filled (fully or partially).

Configuration parameters

• buy_distance, sell_distance: defines closest order distance from center price. Independent configuration gives you an ability to set orders asymmetrically
• buy_orders: define buy orders number and amounts in following form: 30-20-10. This notation means 3 orders will be placed, using 30%, 20%, and 10% of the BASE asset amount. Orders direction is from far end towards center.
• sell_orders: sell orders amounts similarly to buy_orders, except orders direction is from center to far end! This makes sense if you'll look at orders like this: 30-20-10 <center> 2-3-4.
• buy_increment_step, sell_increment_step: increment % between orders. That is, you can set different increment for buy and sell orders
• buy_stop_ratio: Stop placing buy orders if BASE asset value becomes less than this ratio, percentage 0-100. You can think of this setting as a "kill-switch" to stop buying an asset if position becomes too huge.
• sell_stop_ratio: Stop placing sell orders if QUOTE asset value becomes less than this ratio, percentage 0-100. Same as buy stop, but for QUOTE asset. With this setting you can prevent "sold out" condition to make sure you have some QUOTE if price goes up
• external_feed: if True, use external center price
• external_price_source: set any ccxt-supported exchange id here, like "binance", "bittrex" and so on
• external_market: external market can use different ticker, here you can specify what exact symbols you want to use. Example: bitshares market is RUDEX.GOLOS/RUDEX.BTC, external market would be GOL/BTC
• center_price_depth: Cumulative quote amount from which depth center price will be measured. This prevents dust orders from influencing center price
• center_price_from_last_trade: Own last trade price wil be used as new center price
• reset_on_partial_fill: Reset orders when buy or sell order is partially filled
• reset_on_price_change: Reset orders when center price is changed more than threshold
• price_change_threshold: Define center price threshold to react on, percentage (consider using 1/10 of your spread)

Configuration examples

Trading on a downtrend

When market is in a downtrend, you may wish to set buy orders deep, and sell orders close. Also, you can limit your position by keeping BASE ratio high. Further, you want to sell QUOTE as soon as possible:

buy_distance: 4
sell_distance: 1
buy_orders: 3-2-1
sell_orders: 40-30-30
buy_stop_ratio: 90
sell_stop_ratio: 0

Trading Bitcoin and waiting for "to the moon"

Say, your expectation is BTC going moon. So your goal is to keep most of your BTC, doing partial sells on highs and re-buying on price drops. So, you're set high sell stop ratio and low buy stop ratio. Order sizes are also set accordingly: sell small amounts and try to re-buy more aggressively.

buy_distance: 2
sell_distance: 2
buy_orders: 30-20-15
sell_orders: 2-4-6
buy_stop_ratio: 3
sell_stop_ratio: 80