The DCA Spaghetti Bots derives it’s name from the quality of my Haas Visual Code. It looks like tasty spaghetti to me. It takes a constant long signal or an external long signal to create a base order. After that the bot uses pyramiding safety orders based on a % drop from the bot’s average position and if you want in combination with the RSI indicator. This will cause the average buy price to be lowered which helps the bot to exit its long position with a profit. By averaging down the position the bot is able to achieve profits using long only orders even in bear markets. The bots has a few plots that can be handy to build your strategy.
– A great bot for rising markets or if you are longer term bullish
– Can make use of price volatility to generate more profits
– Can be a profitable bot in almost all market conditions
– You will likely need to reserve a lot of collateral to use it in a efficient way
– Needs a (dead) cat bounce to exit in bear markets