Feature request for Bitmex - Entry Level Management - close with profit

[Corfucinas]

Hi,

A nice feature to add to the Market Making is to consider the TBP = Total contracts AT the "Entry Level" and Pong = n%? (from profit) from this "Entry Level".

This feature would allow to run the bot on Ping Pong mode and Cross leverage without worrying that the "Technical Analysis + Protection" will affect the Pingwidth too far away from the current Entry Level (and also prevent eating away at your wallet balance).

This would be a rework of the logic of "bid size and ask size" since the total amount of Bids or Ask will also be equal to = Total Contracts opened.

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For example

Let's suppose that I have a PingWidth% = 0.35% and due to a sudden movement, the price jumps (or drops) 5%/-5% Technical Analysis or Protection would cause that until the price stabilized, the bidding will stop.

Once it resumes (the bidding), it will certainly leave behind the Entry Level. While PingPoing and using pongWidth% solves this superficially, it still doesnt track how much the Entry Level will actually "moves" by accumulating more contracts on the position.

This feature would solve that, so that Pongwidth% is always equal to = "profit" from Entry Level Also, depending on the side of the market, the Bidsize or Asksize can be turned into "total Percetage of the position" to close at a profit.

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Another example Suppose that the market is trending like it did for the past few months, while I accumulate Margin, the entry level will always drag a bit behind the Market Price and the pingwidth%, on this case, let's suppose a sudden dump or profit takes place, the settings should be

Bid size (since I have short) = to n%? of the total positoin (lets say I want to close 50% of my position in profit) and pongwidth = a profit from my Entry Level.

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Hope I made my suggestion clear enough to understand, thanks!

[Corfucinas]

For example, the pongwidth%? right now its set up to be below the Entry Level (but it was forced since I had to increase it).

Ideally, I can "set and forget" the Pongwidth%? since it will always fall to the profit side of the Entry Level The other part would be to set a % of funds I would like to sell, lets say that every time I'm in profit, at 3% of the entry, I want to sell 30% of the total contracts.

[Camille92]

Is this not a recipe for margin call?

Maybe I didn't read carefully enough.

[Corfucinas]

@Camille92 (thanks for the reply)

No, let me explain

Let's suppose I have 1 whole BTC in my wallet, and instead of using Isolated leverage,I use "cross" which means I can keep adding leverage until 100x worth of my total balance.

With good risk and inventory management, I can take any Long or Short position regardless of the market movement (truly staying neutral). OF course, it boils down to every individual risk tolerance, in my case,

Minimum contracts for maker in Bitmex is 0.0025 XBT per order, even if your Entry Position is not optimal (let's suppose you got in Long At $20,000 USD worse case scenario.

If you manage the aditional orders that you will buy (using cross leverage) you'll be able to lower it effectively to a point where any over-sold or over-bought market movement will push the price favorably to your Entry Level.

Going back to the example Let's suppose I bought at $20,000 and I managed appropriately my risk and my inventory, I kept buying all the way down on the crash and managed to get my Entry Level to $10,000 USD.

As soon as the price goes any n%? Above $10,000 , I can place a limit order to close any amount of the position at a profit Let's suppose I have 10,000 contracts at $10,000 USD, and the price went up %3 I can just decide if to close the entire position in order to mitigate risk.

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Now this logic applies to smaller timeframes, lets suppose I don't actually have to start accumulating contracts and survive a 50% market crash, but be able to act the same way on smaller market movements. That is, to accumulate (using appropriate Bid/Ask size and correct risk management for inventory and enough funds on the margin wallet) on a long period of time and just close the entire position as soon as it is on profit.

Just allow this bot to follow accumulation and distribution cycles to a longer extend in case your Entry Level is left behind due to having strict safety protections in the settings.

Hope this clarifies my idea

[asfbhero]

Isn't this basically averagepingagressive? where the bot knows that you've brought your average price down by buying on the downtrend, and not ponging until the price returns to above your average entry?

[Corfucinas]

@asfbhero I'll try running it a while with those settings, the thing is that due to protection settings it ended up on top of the Entry Level, I'll verify and update this ticket when I see its behavior, thanks for the feedback

The other part of my request is to be able to include the possibility of bidding and asking in terms of Contracts, but reducing the position in terms of percentages. Lets say I shorted a BTC rally that lasted 1 month, when its time to buy back the shorts, it can do so by a n%

[asfbhero]

As for percentage where you would buy it back, that would be the pong at setting with % turned on.

As of now that is broken. It’s on my list of things to play with after I get the infinite pongs issue worked out.

Granted, I’m not even sure how to get it to effectively manage the positions in theory, much less know enough about coding where I feel confident that I could effectively implement a solution. Gonna give it the ole college try though.

Right now it doesn’t seem to know which side of the market the bot is heavy on positions on, so it will set the wrong side to tbp held.

For example, if you are long 10000 contracts and that’s your limit, it will see that your margin has hit the tbp on the low end. Instead of stopping buying, it will stop selling. You can’t just reverse the calculations because margin still goes down when you are too short, so you would still have the problem, just on the ask side instead of the bid side.

[Corfucinas]

@asfbhero Yeah, I tried playing around with the settings, but could not get it to work Thanks for the explanation

[Corfucinas]

@asfbhero

Yeah, boomerand with AveragePingAggresive is working like a charm

I'm accumulating longs and the "pong" (sell line) is above the Entry Level

I'll continue monitoring this, but I think this can be close now