Automate your trading strategies in Python
How to build your first trading bot:
(a thread)
1. What is a trading bot?
A trading bot is a software program that automates buying and selling financial assets like stocks and cryptocurrencies based on pre-defined strategies and rules.
These automated systems can manage portfolios without human intervention, operating 24/7.
2. Let's make a Bitcoin Trading bot
We'll use investing-algorithm-framework in Python
Step 1: Setup
We need to specify how often our trading bot runs and which market data it's going to use
Step 2: Trading Strategy
We will implement a simple strategy that buys Bitcoin when there is a golden cross between a fast and slow-moving average
Step 3: Backtest the Strategy
Now that we have implemented our trading strategy, we can test it. To test our strategy, we will use the backtesting functionality of the investing algorithm framework.
Step 4: Analyze the Backtest Results
This trading strategy is profitable with a growth rate of 17% on its closed trades.
Step 5: Deploy the Trading Bot
Once we have found a profitable trading strategy, we can deploy the trading app in the cloud.
🚨Want to learn Algorithmic Trading Strategies (that actually work)?
On June 25th, we are hosting a free workshop to help you get started with algorithmic trading with Python.
Register here (500 seats): learn.quantscience.io/join
That's a wrap! Over the next 24 days, I'm sharing my top 24 algorithmic trading concepts to help you get started.
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