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Gunbot selling at loss. Why?

From time to time I hear things like “My Gunbot is selling at loss. I don’t understand it” or “Selling price is lower than bought price. Something is wrong with my Gunbot”. Let’s see why this could happen:

1- If you activate Double_up (DU), Gunbot will promediate, that is, if the price of a coin drops, it will buy for a lower price, so the average price will be lower and it can sell getting profit even selling for a lower price than the first bought price.

2- Reversal Trading (RT). Same as happens with DU, this trading strategy could sell for a lower price.

3- Note that buy price and sell price are independent. Buy price is based on the strategy / settings, that is, it’s based on trading indicators, while sell price is usually related with bought price. Let’s see a simple example of how this could cause Gunbot setting a selling price lower than bought price. Suppose we set Gunbot to start trading USDT-BTC and BTC price is 10.000$. Ok, suppose our buying strategy is GAIN, buy_level parameter is set to 2 and Gain parameter is set to 2. In this case, Gunbot will buy when the price is 2% lower than lowest EMA and it will sell when the price is 2% above bought price, that is, Gunbot will buy at 9xxx. Ok, suppose the last time you purchased BTC with USDT was 3 weeks ago and BTC price was 8700$. Considering Gunbot reads bought_price from order book, Gunbot would think we purchased BTC for 8700, so if the current price is around 10000, the conditions for selling are met (2% above 8700), so it will sell very fast and the selling price would be lower than bought price. In conclusion, be sure bought_price is updated. You can make a small buy and sell operation manually, so Gunbot will get an updated price. Other option is to override price, so we will force Gunbot to read the bought price we want.

 

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