Major Trap for Losses - stuck on high entries..

[Pro]

Heyo

I encountered a major Problem, where the losses will always come from...
This will be probably fixed in next versions, however it is the following scenario:

A big Pump comes, let's say the course goes up by 70%, but then the course goes back down 50% or more most of the time (from top).
The Problem is, that the Bot don't know, that there was a huge pump and just buys 5% below the top, and the cash get's stuck.

Here are an actual example of this:


(if you don't see the full image, CTRL+SCROLL to 90% or click on it)



This is basically a 30%~ Loss Trade overall.
This is just one example, there are probably some more, wich stuck like that.
I don't know yet, if there are measurements to avoid that, but happend not just once.

Settings where:
BUYLVL1: 1,
BUYLVL2: 2,
BUYLVL3: 3,
SELLLVL1: 1,
SELLLVL2: 2,
SELLLVL3: 3,
BUYLVL: 3,
SELLLVL: 3,
STARTEMA1: 0.02,
STARTEMA2: 0.04,
PERIOD: 15,
MAX_LATEST_PRICES: 100,
MAX_LATEST_DIRECTIONS: 30,


I wonder if you all experience this as well?

It's mostly a pattern like that.
There must be a strategy to handle those dynamics.

What would you suggest?

[Gunthar]

looking at your settings, the bot waits for the price to go lower 2 to 3% from the lowest ema > 1441 was down that as you can see in the chart and it already went higher (last part of your chart.)

[jroddingham]

There's only 1 EMA in that chart, and a BB. I have noticed this as well, it's not really a function of it being wrong, the bot does what it's told to do. The issue is the problem of what to set your window at. sometimes you as a human want to consider a very small frame of time, others you zoom out on a chart and you can see "whoa, this price spike is fake news."

Maybe could implement some type of extra 24 hour EMA 'sanity check' as others have suggested before going in on a buy. But yes, I have noticed quite a few instances of this happening, it's as you said due to the shortish window set.

[Kraddler]

What about a new setting: Do not buy if price is in a x% range under a x hour/days high? Or something like that. So one can stop the bot in price spikes when he wants. Is that possible with the polo API?
I know this will have side effects, but for me buying a bag at a big price spike is worse than missing some trades  (At least I think so )

Suggestions?