SUPERALGOS DATA MINING

Follow Our Data Scientists’ Trading Signals with Superalgos!

Copy-trade following top Superalgos users in a fully automated fashion!

It’s been a long time coming, and we’re excited to share this with the rest of the world. Signalytic, a spinoff of the Superalgos Data Mining Team, has been discreetly working on this strategy for the BTC/USDT market using freely available indicators, some of which may only be found in Superalgos!

Signalytic’s Trend Soaring Trading System

Trend Soaring is a scalping system performing scalps in the 1-minute time frame. It takes about 10 to 20 positions daily. Positions are open for an average of about 10 minutes, with shorter positions spanning 3 or 4 minutes, while longer ones may be open for over an hour.

The goal of the strategy is to accumulate both BTC and USDT, depending on market conditions.

When the market is bearish, the system stands on USDT, meaning that when there are no open positions your balance is mostly on USDT. In this context, the strategy attempts scalps buying BTC and tries to sell it at a higher price, always coming back to USDT.

When the market is bullish, the opposite happens. The strategy stands on BTC, and scalps by selling BTC to rebuy at a lower price.

Handling of Balance

The system compounds profits, most of the time opening positions with a size equal to your existing balance at any point in time.

Notice that I mean the balance kept by Superalgos, not the balance you may keep in your account at the exchange.

Backtesting Performance

The performance of this signal has been amazing so far and we believe that it will continue to perform well in the future in all market conditions. During our backtests stretching from the beginning of 2018 until the end of August 2022, the results were insanely good.

This is a quick reminder of some of the market conditions and challenges during this period:

  • The bear market of 2018 after the parabolic bull market of 2017.
  • The crash at the end of 2018.
  • Months of sideways price action in 2019 followed by a new bull run.
  • The Covid crash in 2020.
  • The bull run of 2020/2021.
  • The massive correction in the summer of 2021.
  • The bull run to $69k, in 2021.
  • The bear market of 2021/2022.
  • The Luna and UST domino crash.

Below is a graphical representation of the ROI vs. BTC/USDT price rate during the backtesting period. As you can see, what we have designed is cutting-edge, and adaptable to any kind of market condition.

Graphical representation of the ROI vs. BTC/USDT price over the backtesting epriod (~4years)

During all these turbulent periods the strategy managed to perform an average of 235% per year. Over the whole backtesting period, that results in 23,000% cumulative profit, that is, reinvesting all profits on every position.

Holding BTC during the same period would have resulted in a profit of around 100%.

Also, check out the normalized equity curve of the backtesting period:

With a maximum drawdown of around 25% and with a win rate of 60–70%, we are very happy with the results!

Defining the Initial Balance

Superalgos requires users to define the initial balance under the Trading Parameters node of the Live Trading Session. You may set the initial balance either in the Session Base Asset, in this case, BTC, or in the Session Quoted Asset, in this case, USDT. You may also start with a combination of the two.

This is what you need to consider to decide how to define the initial balance for this particular strategy:

The system opens positions by either buying or selling BTC depending on market conditions, as described above.

This means that, if the market is bearish at the moment you start your Live Trading Session, the first signal you get will most likely attempt to buy BTC. If you defined your initial balance in USDT, then the strategy will have USDT available to buy BTC, and the first trade will go through as expected.

However, if you defined your initial balance in BTC, then you will not have USDT in your account to buy BTC. In that case, the trade will not be executed. Instead, it will simply be ignored. Under these circumstances, if the market remains bearish, chances are many more trades may be ignored. Only when the market turns bullish or the strategy chooses to rebalance from USDT to BTC will you be in sync with the signal broadcast, and start taking all trades.

You may apply the reverse logic when the market is bullish.

In short, if the market is bearish, you may want to define the initial balance in the quoted asset, that is, USDT. If the market is bullish, you may want to define it in the base asset, that is, BTC.

Now, how do you know if the trading system is bearish or bullish at any point in time? You may ask other people following the strategy in the Signalytic Telegram group.

To get in sync with the signal provider regardless of market conditions, you may split your initial balance both in base asset and quoted asset, in whatever proportion you see fit. That will ensure you start taking trades as soon as possible.

Please, notice that whatever you define as the initial balance in the Trading Parameters must be available at the exchange, otherwise, you will get errors upon the execution of the orders.

Important Caveats

  • The strategy relies on 0% fees on the exchange. The performance will be greatly diminished in any other context.
  • The strategy needs significant volume on the exchange to be profitable, as it uses market orders to enter and exit positions.

That is why we are using Binance to trade with this strategy. That said, feel free to try it on whichever exchange you like.

Live Trading Performance

Julian Molina wrote an article describing his experience and performance copy trading the strategy during the first few weeks:

Important Disclaimers

Nothing in this article is financial advice. Trading is inherently risky and you may lose all or part of your capital. Also notice that performance in backtesting is not an indication of live trading performance and that live performance is not an indication of future performance! Copy trade at your own risk!

Token Requirement

To gain access to these signals you need to have SA tokens in the account associated with your User Profile!

By getting SA tokens, not only do you acquire access to the signals, but you also support further development in the Superalgos project!

Notice that you don’t need to spend the project tokens; you only need to hold them. If you are not happy with the results, you may, at any point, sell your tokens to get your money back, essentially making these signal free of charge.

To celebrate this first publicly available trading strategy using the awe-inspiring power of Superalgos, the token requirement is initially reduced by 62.5% during the first few months, to 750,000 $SA Tokens.

After this initial period, 2,000,000 $SA tokens will be required and different versions of the strategy will be released with different levels of optimizations corresponding to different token requirements.

How to Get Started

Setting Up and Testing Your Copy Trading Environment

The article below covers everything you need to know to get started with Superalgos, the copy trading features in particular, and — most importantly — how to test your copy trading setup before you get to follow a our signal.

How to Follow Our Signal

Once you’ve gone through the testing process and verified everything is working as expected, load the Signalytic-Trend-Soaring-Receiving plugin workspace from the Workspaces > Trading Signals menu and connect the Data Tasks and Trading Task references to your profile, just like you did with the testing workspace.

Useful Links

The article above explains how to get started with Superalgos in case you are new to the platform. The following are community groups where you may interact with other users or ask for help.

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Thomas Huault

Seasoned project Manager and data scientist with a strong background in physics, I lead the Data Mining initiative of the social trading Platform Superalgos.