What Is Spot Grid?
CoinEx Spot Grid is an automated quantitative trading strategy. By setting predefined price intervals, the system executes buy and sell orders within the specified range, enabling systematic trading in volatile markets.
What Is Auto Recommendation?
Based on the technical analysis of the recent market, the Auto Recommendation of Spot Grid will suggest 3 core parameters: The upper price, the lower price, and the number of grids, which are the key parameters for the settings of a profitable grid strategy.
1. The lower price
That is the lower limit of the grid price range. Based on the running time (7D/30D/90D) selected by the trader, the recommended minimum price is systematically generated according to the following algorithms:
Lower Price = Min. (Low, Latest Price - Latest Price * 5%)
Low = T-Day Low_price - 2 * Vol
Vol = T-Day Daily Volatility (Avg)
Daily Volatility = (Upper Daily Price in Candlechart - Lower Daily Price in Candlechart) / Opening Price
Notes:
T-Day: The running time selected by the user (7D/30D/90D)
When selecting the running time of 7D/30D/90D, Vol = the average volatility in the last 7 days/30 days/90 days
2. The upper price
That is the upper limit of the grid price range. Based on the running time (7D/30D/90D) selected by the trader, the recommended maximum price is systematically generated according to the following algorithms:
Upper Price = Max. (High, Lower Price - Lower Price * 15%)
High = T-Day High_price + 2 * Vol
Vol = T-Day Daily Volatility (Avg)
Daily Volatility = (Upper Daily Price in Candlechart - Lower Daily Price in Candlechart) / Opening Price
Notes:
T-Day: The running time selected by the user (7D/30D/90D)
When selecting the running time of 7D/30D/90D, Vol = the average volatility in the last 7 days/30 days/90 days
3. Number of grids
That is the number of pending orders in the grid strategy: the more grids, the smaller the price gap, and the more orders will be executed, yet the revenue per grid will be smaller. On the contrary, the fewer the grids, the fewer executed orders, but the revenue per grid will be higher. It takes at least two or more grids to work a strategy, and the price gap between grids cannot be too dense.
The recommended number of grids is calculated as follows:
grid_true = clamp (20, grid, 40)
grid = int [(Upper price - Lower price) / (PNL * Latest price) ]
When the selected time is 7D: PNL = 0.5% - Fee
When the selected time is 30D/90D: PNL = 1% - Fee
Risk Reminder
As a trading tool, Strategic Trading does not constitute financial or investment advice from CoinEx. Users can adjust, suspend, or end the strategy at any time according to the current market trends, and apply the use of strategy trading voluntarily, which may fail to obtain corresponding strategy benefits, due to the unreasonable setting of strategy parameters or extreme market fluctuations.
All strategies are determined by the users themselves and at their own risk. CoinEx will not be responsible for any loss caused by the use of this service. Please reasonably evaluate your risk tolerance and make rational decisions after carefully reading the strategy trading guide.
Learn more: Introduction to Spot Grid