Strategy Basics

A strategy (signals) and an execution config (risk) together form a complete, reproducible trading algorithm. A strategy lives in the Strategy Library and defines when to open and close positions: buy / long and sell / short conditions, AND / OR / NOT logic, indicators, and parameters. This page focuses on the strategy itself; for how to create one, see Create Strategy.

Whenever later pages such as Run Backtest, Create Backtest, Live Trading, or Trading Basics refer to a "strategy", they mean exactly this: a strategy created and saved in the Strategy Library. At runtime it gets copied to each trading pair under a backtest task or trading bot, where it runs together with an execution config.

About execution config

Trading pair, timeframe, initial capital, leverage, stop-loss / take-profit, position size, max drawdown, scale-in rules, and other execution config items are set per pair when you go through Run Backtest or Create Trading Bot.

They live per pair because the same signal set typically needs different capital and risk parameters across pairs, accounts, and modes:

• Volatility differences: BTC and small-cap coins can differ several-fold in intraday range; one stop-loss / take-profit ratio doesn't fit all
• Capital allocation: When one account runs multiple pairs, each pair's initial capital and position cap should be split based on overall risk exposure
• Mode differences: Futures and spot have different leverage and margin needs; paper and live often run at very different capital scales
• Reuse: One signal set can be tuned independently across many pairs and bots—no need to clone the strategy per scenario

See Execution Config, Risk Management.

Strategy structure in detail

1. Condition combinations

A strategy combines multiple trading conditions with logical operators. Understanding condition combinations is key to building effective strategies.

Logical operators:

Examples (buy / long vs. sell / short):

Buy / long:
  (MA5 > MA20) AND (MACD > 0) AND (volume > average volume)

Sell / short:
  (MA5 < MA20) OR (stop-loss hit) OR (take-profit hit)

Buy / long:
  (RSI < 30) AND (price > lower Bollinger) AND (NOT in position)

Sell / short:
  (RSI > 70) OR (price < upper Bollinger) OR (stop-loss hit)

2. Technical indicators overview

Strategies use technical indicators to judge market state. In the system, indicators are grouped by category; common categories and typical use (partial list; see the in-app page for the full set):

For each indicator's meaning, parameters, and usage, see the in-app Technical indicators page; when configuring a strategy, pick from the right category and set parameters. Doc reference: Technical indicators.

Creation methods

A strategy can be created in two ways:

For condition logic and indicator usage see Conditions and Indicators; for the template list and usage see Templates. For step-by-step actions, see Create Strategy.

Strategy types overview

Templates in the system are grouped by type. Common types and typical use (partial; see the in-app page for more):

For each type's logic, parameters, and recommended use, see Templates and Technical indicators in the system; pick a template from the matching type and adjust. Doc reference: Templates, Indicators.

Strategy Library

• Multiple strategies: Create and save many strategies; search and filter by name and description; enable / disable and pin favorites.
• Editable fields: Name, description, buy / long & sell / short conditions, and indicator parameters.
• Relation to backtests / bots: A strategy in the library acts as a "template". When you create a backtest task or trading bot, the system copies the selected strategy's signal config into that task or bot's per-pair configuration; from then on each pair can be tuned independently on its own copy.
• Edit and delete: Editing or deleting a strategy in the library does not affect existing backtest tasks, completed backtest reports, or running trading bots—they use the copy taken when they were created. To bring an old bot up to a new logic, create a new bot or re-pick the strategy to generate a fresh copy.

Full strategy testing flow

Before going live, a strategy should go through a full validation cycle:

Naming and parameter tips

Strategy naming

A clear naming scheme makes strategies easier to manage:

Format: include strategy type and main parameters, e.g. type_mainparams_version.

Examples:

• MA_cross_5_20_v1
• RSI_oversold_14_30_70_v2
• MACD_trend_12_26_9_v1

Parameter principles

Common issues

Cannot create the strategy

Common causes: the config screen didn't open after creating (refresh or re-open the strategy), buy / long & sell / short conditions are incomplete, missing permissions, or a system error. Check the error message first, then required fields and parameter ranges, or start from a preset template and edit.

Strategy logic unclear

If you're not sure when the strategy buys or sells, or conditions and parameters look messy: simplify (start simple and add over time), use a template to clarify structure, and document the logic (text or flowchart); then validate with backtests and trade records to find logic gaps.

Poor performance

Possible causes: the strategy doesn't fit the current market (e.g. trend strategy in a range), parameters are off, or there are flaws in logic or risk control. Analyze the trade records for patterns and root causes, adjust conditions and parameters and tighten risk control, then revalidate: backtest → paper → small live.

Full creation example

Example: MA crossover trend strategy

Let's build a complete "moving average crossover trend strategy":

Strategy info:

• Name: MA_cross_trend_v1
• Description: Simple trend strategy based on MA crossover, fast MA5 and slow MA20, suited to trending markets.

Buy conditions:

Condition 1: MA(5) crosses above MA(20)
  - Indicator: Moving average (MA)
  - Fast period: 5
  - Operator: cross above
  - Compare to: MA(20)

Condition 2: volume > average volume × 1.2 (optional confirmation)
  - Indicator: Volume
  - Operator: greater than
  - Compare to: average volume × 1.2

Final buy condition:
  Condition 1 AND Condition 2

Sell conditions:

Condition 1: MA(5) crosses below MA(20) (trend reversal)
  - Indicator: Moving average (MA)
  - Fast period: 5
  - Operator: cross below
  - Compare to: MA(20)

Final sell condition:
  Condition 1

Logic:

1. When MA5 crosses above MA20 and volume expands → uptrend → buy.
2. When MA5 crosses below MA20 → trend reversal → sell.
3. Actual position size, stop-loss / take-profit, and max drawdown are managed by the execution config on each trading pair this strategy runs under.

Expected behavior: works well in trending markets; in ranging markets it may produce more false signals—keep stops tight. Use the config above as a reference; for hands-on steps see Create Strategy.

Once you're comfortable with the basics, move on to Create Strategy, Templates, and Conditions; see Execution Config for how runtime position and risk are set.