How I Made 700% Profit with a Free AI Trading Bot (Full Guide)

Introduction

In this guide, I’ll show you how to automate a simple but effective trading strategy into a free AI trading bot using a platform called Pionex. This strategy boasts a win ratio of 70% to 80% on the 5-minute chart, with possibilities of making a staggering 600% to 700% profit per month, based on historical performance.

The Trading Strategy Explained

Indicators Used

The basis for this automated strategy lies in two main indicators:

1. Adria Extreme Points Buy and Sell Indicator: This tool generates potential buy and sell signals by combining elements from various technical indicators such as CCI, momentum, and RSI.

2. Exponential Moving Average (EMA): Set to a length of 100, the EMA serves as a filter to refine valid trade entries.

Buy and Sell Conditions

• Buy Signal: Triggered when:

  • The Adria Extreme Points indicator gives a buy signal, AND
  • The price is below the EMA.

• Sell Signal: Triggered when:

  • The Adria Extreme Points indicator gives a sell signal, AND
  • The price is above the EMA.

Once a long trade is opened, the position remains active until a sell signal is generated.

Note: Although the strategy does not require a stop-loss, it's advisable to use a leverage no higher than five or engage in spot trading to avoid substantial losses.

Creating the Trading Bot

Coding the Strategy

Here’s how to code this strategy without needing prior programming knowledge:

1. Copy the Indicator Code: Begin by copying the Adria Extreme Points indicator code.

2. Use Pionex GPT: Login to Pionex and access Pionex GPT, a coding AI designed specifically for trading strategies.

3. Generate the Strategy: Request a Pine Script for your trading strategy by specifying the necessary components, including the EMA as a signal filter.

4. Customize Inputs: Modify inputs such as entry signal source and RSI settings within the strategy tester.

Backtesting the Strategy

Once the strategy is set, apply it to the Solana/USDT chart on a 5-minute timeframe. The backtest results should show a win rate of around 75% and a net profit of 143% across 81 closed trades, with a maximum drawdown of just 15%.

In the case of Ethereum on the same timeframe, you may notice slightly different win ratios, but overall results remain consistent.

Additional Improvements

Consider implementing a volume filter or utilizing the Parabolic SAR indicator for exit signals to minimize drawdowns associated with open trades.

Automating the Bot

1. Pionex Account Setup: Register for a free account on Pionex.

2. Add the Trading Strategy: Navigate to TradingView and add your strategy to the chart.

3. Set Up Signal Bot: In Pionex, choose the Signal Bot option and link it to your TradingView script using the provided webhook.

4. Test and Go Live: Always test your bot on a demo account before moving to real trading.

By automating this trading strategy, you minimize manual efforts while taking advantage of profitable trading opportunities, significantly increasing your chances of success.

Conclusion

Get ready to elevate your trading game by leveraging AI trading bots. Join a dynamic community on Pionex, trade confidently, and enjoy the vast potential of this automated strategy.

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Keywords

• Automated Trading
• AI Trading Bot
• Trading Strategy
• Adria Extreme Points
• Exponential Moving Average (EMA)
• Backtesting
• Profit Potential

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FAQ

• What is the win ratio of the trading strategy?

  • The win ratio is approximately 70% to 80% when backtested on the 5-minute chart.

• What is the maximum drawdown observed?

  • The maximum drawdown recorded was about 15%.

• Do I need coding knowledge to set up the bot?

  • No, the automated strategy can be created using Pionex GPT without prior coding experience.

• How do I automate the trading strategy?

  • After setting up your TradingView strategy and creating alerts, you can link it to a Signal Bot on Pionex for automation.

• What should I do if the results aren't satisfactory in live trading?

  • It’s advisable to make adjustments to your indicators or risk management techniques, such as incorporating stop-loss orders or exit indicators. Start testing in a demo account as needed.