Hello Hiveans,
It's been a month since my last post, but I've been really busy working on the frontend and backend of hive.trading. Today, I finally have a few updates to share about the progress of the project.
How Does It Work?
Using our bots is straightforward. Simply log into hive.trading with Hive Keychain, select a bot, and if you haven't already activated it, you'll be prompted to burn HELIOS tokens to subscribe. Once subscribed just set your trade settings and wait for the bot to begin trading. We automatically check for new users every hour, so there may be a slight delay when first activating your bot. For more information you can visit our FAQ page.
The big news is that I've just released a brand new bot called the Marketmaker bot. This bot aims to make a series of small trades by placing a limit order at the ask and a buy order at the bid simultaneously. The bot runs every ten minutes, and before placing new orders, it checks if previous orders are filled. If not, it cancels the previous orders and issues new ones. I like this bot, and it seems to be profitable. I just checked the ROI, and it was around 10%, and since this is just the beginning of tracking the data the ROI should increase over time.
Above is a sample of orders from yesterday. I'm only using small amounts right now, but this screenshot shows the general idea. And here is a snapshot of today's marketmaker trades below:
Gains are not guaranteed. There are always circumstances when a fill doesn't happen on one of the pairs, which could lead to a negative or wash trade. However, the idea is that more profitable trades should happen over time, leading to more profits.
Things to keep in mind while using this bot
Since the bot trades frequently, you will need to keep a mindful eye on your RC / Mana. Right now, the main account I'm testing with has 200 HIVE powered up, which seems fine. However, for accounts with the minimum HIVEPOWER, you may need to get more.
Also, making sure your trade settings are set up and maintaining balances above your trade settings is crucial.
Some other updates to Hive.Trading!
Besides adding the Marketmaker Bot, I've done some other improvements to the site thanks to user feedback. New additions include descriptive features about the logged-in bot, auto-populated trade settings, and a recent orders log below.
I'm constantly working on improving all the bots and recently updated the SMA bot to use the 5 and 10 SMA to locate good buy and sell scalp trades. This is a new approach aimed at having the bot look for very short-term spikes to sell and dips to buy.
I've also fine-tuned the Bollinger Band bots to increase profitability. However, it's a work in progress, and I plan to keep refining them. For instance, the spike last night just came shy of the top of our Bollinger Bands, so I'm thinking of modifying at least one of the two Bollinger Band bots to use an even shorter-term timeframe.
Lately, the HIVE price has not been acting optimally for certain strategies, including Bollinger Bands. The price of HIVE been more of a long, slow death march down in between the bands, while now it's the opposite: a long, slow upward crawl with a few muted spikes. Back when I first designed the Bollinger Band bots, HIVE was pumping, and the data was coming in a lot differently than it is now. This is part of the reason why I shifted my focus to making a Market Maker bot, which is not determined as much by the trend but more reliant on the strategy of persistence in the marketplace.
What's next?
In latest developments, @theguruasia just gave me a script for sharing curation rewards with HELIOS holders, and I've thought that a good plan might be to modify it to also share rewards with our active bot trader users too. This can be a great way to help support our community even further while incentivizing engagement and participation. By sharing rewards with active users, we can create a more vibrant and thriving ecosystem where everyone benefits.