Grid Trading (Range Trading) - Bitcoin Automated Trading Software

1. Strategy Introduction

Range trading (also known as grid trading) is an automated trading strategy that does not require predicting market direction. Both intraday charts and long-term candlestick patterns show that volatility is a primary market characteristic, and grid trading takes advantage of this feature to generate profits.

1.1 Advantages of the Strategy

No need to forecast market trends
No need to study fundamentals or news
Automated high-sell low-buy to gain price differentials
Suitable for most traders
Can help generate additional income while holding quality assets

Usage Recommendations:

Select trading pairs with good liquidity and moderate volatility
Set reasonable trading ranges and grid spacing
Be patient and allow the strategy to profit in a volatile market
Regularly review and optimize strategy parameters

1.2 Applicable Scenarios

Market oscillation phase: Prices fluctuate within a certain range
Bottom building phase: Reduce costs through incremental buying
High position reduction phase: Increase profits through incremental selling
Intraday trading: Profit from intraday price fluctuations

2. Creating a Grid Trading Strategy

There are two ways to create a grid trading strategy:

2.1 Direct Creation

Click the "Range Trading" button on the main interface
Configure parameters in the pop-up settings window

2.2 Create from Holdings

Right-click on the trading pair in the holdings list
Select "Add to Range Trading Strategy"
The system will automatically fill in the relevant parameters for the current holdings

3. Parameter Settings

3.1 Range Parameters

Parameter Name	Description
Upper Limit (Yuan)	Default 0 means no upper limit The strategy will automatically stop trading when the price exceeds this amount If there are holdings, they will be kept, as the market may be in a strong upward trend Trading will automatically resume if the price falls back within the range
Lower Limit (Yuan)	Default 0 means no lower limit The system will automatically liquidate holdings when the price falls below this amount Trading will stop if the price remains below the lower limit Avoid continuing to trade in a clear downward trend
Buy Amount per Trigger	Required, specifies the buy amount each time the trigger condition is met Can be set by amount or by shares Click "Yuan" to switch to shares mode The system will automatically round to 100 shares If leverage buying is enabled, the quantity will be adjusted accordingly
Sell Amount per Trigger	Optional, specifies the sell amount each time the trigger condition is met Entering 0 will sell according to the last transaction volume Also supports setting by amount or by shares The sell button supports advanced order mode

3.2 Trading Condition Parameters

Parameter Name	Description
Max Consecutive Buys	Optional, default 0 means no limit on the number of trades The strategy will automatically stop after reaching the set number Used to control the scale of capital usage
Consecutive Buy Count	The current number of consecutive buys recorded by the system Trading will stop after reaching the maximum consecutive buy count Generally does not need manual modification
Last Transaction Price	Used as the benchmark price for calculating price changes Automatically filled with holding cost or latest price when creating a new strategy Automatically updated by the system in subsequent trades Supports automatic adjustment for stock dividends $ button controls whether to automatically adjust for dividends
Last Transaction Volume	Records the quantity of the last trade Used as the default quantity for the next sell If set to 0 for each sell, this quantity will be used Automatically filled with holding quantity when creating a new strategy
Price Increase Sell (%)	Required, the percentage increase that triggers a sell Calculated relative to the last transaction price Can be combined with rebound points to increase sell conditions
Price Decrease Buy (%)	Required, the percentage decrease that triggers a buy Calculated relative to the last transaction price Can be combined with rebound points to increase buy conditions

3.3 Pivot Point Parameters

Parameter Name	Description
Lowest (Pivot)	The system automatically records the lowest price Recorded from the last trade Can be manually adjusted to correct inaccurate records
Lowest (Pivot) Rebound Percentage	Only buy if the rebound exceeds this percentage from the lowest point Default 0 means no need to wait for a rebound Avoid buying too early during a one-sided decline
Highest (Pivot)	The system automatically records the highest price Recorded from the last trade Can be manually adjusted to correct inaccurate records
Highest (Pivot) Drop Percentage	Only sell if the drop exceeds this percentage from the highest point Default 0 means no need to wait for a drop Avoid selling too early during an upward trend
Delay Confirmation Time	Minimum duration (in seconds) for the rebound/drop to be sustained Only effective when pivot point percentages are set Avoid misoperations caused by instantaneous price fluctuations

3.4 Advanced Options

Parameter Name	Description
Multiplier Buy After Crossing Ranges	Select to increase buy quantity when the price crosses multiple ranges For example: set to buy 100 shares at 2%, buy 400 shares when the price drops 8% Applicable for increasing positions during rapid declines If not selected, trades will always occur at the original quantity
Multiplier Sell After Crossing Ranges	Select to increase sell quantity when the price crosses multiple ranges For example: set to sell 100 shares at 2%, sell 400 shares when the price rises 8% Applicable for reducing positions during rapid increases If not selected, trades will always occur at the original quantity
Sell All After Multiple Buys	Select to sell all holdings when sell conditions are met Excludes the specified base amount Suitable for profit-taking during significant price increases If not selected, positions will be gradually reduced based on each sell quantity
Check Transaction Status	Select so that the strategy status is only updated upon confirmed transactions It is recommended to set a timeout for canceling orders simultaneously It is recommended to set a time interval for repeat transactions Avoid unexecuted orders from affecting strategy execution

Advanced Options Usage Recommendations:

It is recommended to become familiar with basic functions before using advanced options
When using leveraged trading, be cautious of controlling capital risk
Enabling transaction status checks can enhance strategy stability

3.5 Grid Matching Mode

Grid matching is an important advanced feature controlled by the red arrow button:

The pressed state of the red arrow indicates that pairing grid prices is enabled
Sales following consecutive purchases will match the previous purchase prices
Ensures that each trade meets the expected profit target

Function Description	Working Principle
Sell Matching	Selling after consecutive purchases will pair with historical purchase prices. For example: The first sell after three consecutive buys compares the price with the last purchase to calculate the price increase If the price continues to rise, the second sell compares with the second to last purchase price The third sell compares with the first purchase price
Buy Matching	Also supports buy pairing mode. For example: The first buy after three consecutive sells compares the price with the last sell to calculate the price drop If the price continues to drop, the second buy compares with the second to last sell price Generally, sell pairing is more commonly used, but the system also supports buy pairing

Example showing the difference between grid matching and non-matching

Example Explanation:

After two consecutive buys at points ①②, the stock price continues to drop
Operations are paused due to risk control or network disconnection
At point ③, the price rises by 4%, executing the first sell
When reaching point ④:
- If grid matching is not enabled: A sell is executed since the relative increase from ③ reaches 4%
- If grid matching is enabled: The comparison is made with the historical purchase price at ①, which does not meet the 4% increase, so no sell is executed
- It will only sell when the price continues to rise to point ⑤, reaching a 4% increase relative to ①

Advantages of Grid Matching:

Ensures that each sale meets the expected profit target
Avoids premature selling during minor fluctuations
Increases the stability of the strategy's profitability
Especially suitable for oscillating upward trends
Requires the Premium version or higher for support

3.6 Inverse Pyramid Strategy Settings

3.6.1 Inverse Pyramid for Buy/Sell Quantities

Both buying and selling quantities support dynamic adjustments in an inverse pyramid manner:

Direction	Description
Buy Quantity Inverse Pyramid	Click the dropdown arrow next to "Buy Each Time" to set For example, with a 3% incremental interval: First buy 100 shares when the price drops 3% Second buy 200 shares when the price drops another 3% Third buy 300 shares when the price drops another 3% Suitable for gradually increasing buying power during a downtrend
Sell Quantity Inverse Pyramid	Click the dropdown arrow next to "Sell Each Time" to set For example, with a 5% incremental interval: First sell 100 shares when the price rises 5% Second sell 200 shares when the price rises another 5% Third sell 300 shares when the price rises another 5% Suitable for gradually increasing selling pressure during an uptrend

3.6.2 Inverse Pyramid for Buy/Sell Price Intervals

Both buy and sell trigger intervals support dynamic adjustments in an inverse pyramid manner:

Direction	Description
Buy Interval Inverse Pyramid	Click the dropdown arrow next to "Buy on Price Drop (%)" to set Example Configuration 1 - Linear Increment: Buy on the first 5% drop Buy on the second drop of 10% Buy on the third drop of 15% Buy on the fourth drop of 20% Example Configuration 2 - Accelerated Increment: Buy on the first 5% drop Buy on the second drop of 10% Buy on the third drop of 20% Buy on the fourth drop of 40%
Sell Interval Inverse Pyramid	Click the dropdown arrow next to "Sell on Price Rise (%)" to set Example Configuration 1 - Linear Increment: Sell on the first 5% rise Sell on the second rise of 10% Sell on the third rise of 15% Sell on the fourth rise of 20% Example Configuration 2 - Accelerated Increment: Sell on the first 5% rise Sell on the second rise of 10% Sell on the third rise of 20% Sell on the fourth rise of 40%

Direction

Description

Buy Interval Inverse Pyramid

Click the dropdown arrow next to "Buy on Price Drop (%)" to set
Example Configuration 1 - Linear Increment:
- Buy on the first 5% drop
- Buy on the second drop of 10%
- Buy on the third drop of 15%
- Buy on the fourth drop of 20%
Example Configuration 2 - Accelerated Increment:
- Buy on the first 5% drop
- Buy on the second drop of 10%
- Buy on the third drop of 20%
- Buy on the fourth drop of 40%

Sell Interval Inverse Pyramid

Click the dropdown arrow next to "Sell on Price Rise (%)" to set
Example Configuration 1 - Linear Increment:
- Sell on the first 5% rise
- Sell on the second rise of 10%
- Sell on the third rise of 15%
- Sell on the fourth rise of 20%
Example Configuration 2 - Accelerated Increment:
- Sell on the first 5% rise
- Sell on the second rise of 10%
- Sell on the third rise of 20%
- Sell on the fourth rise of 40%

Characteristics of Inverted Pyramid Strategy:

Quantity Inverted Pyramid:
- Buying Direction: Suitable for gradually increasing position during a downward trend
- Selling Direction: Suitable for gradually increasing profit-taking intensity during an upward trend
- Can flexibly respond to trending markets
Interval Inverted Pyramid:
- Buying Direction: Avoid exhausting funds too early during a unilateral decline
- Selling Direction: Avoid clearing positions too early during a strong rally
- Can dynamically adjust grid size to adapt to different market conditions
Combination Usage Recommendations:
- Can use both quantity and interval inverted pyramids simultaneously
- Select appropriate increment based on market conditions and capital situation
- Pay attention to risk control to avoid excessive position buildup or holding

3.7 Other Important Settings

Option Name	Description
Use of Transaction Price	Use the last order price (default) Use the cost price read by the trading software Use the price at the time of triggering the condition
Buy Option Check	Check the drop percentage when the rebound condition is met Avoid buying when the price has risen too high during the rebound
Sell Option Check	Check the rise percentage when the pullback condition is met Avoid selling when the price has fallen too low during the pullback

4. Statistics and Analysis

4.1 Interval Profit Statistics

The software provides complete grid trading statistics to help you analyze strategy effectiveness:

Interval Statistics List

Monthly Total Profit Statistics Chart

Total Profit Statistics Chart

Statistical Indicator	Description
Interval Profit	The actual profit amount obtained when selling on a rise The deep red line represents the cumulative profit of grid trading The light red area indicates the overall profit and loss of the account
Interval Savings	The savings amount during buying on a drop The blue line indicates the cumulative savings amount Reflects the cost advantage of the strategy

4.2 Interval Savings Statistics

The blue line represents total savings for the interval, while the red line represents total profit for the interval.

Significance of Interval Savings Statistics:

Reflects the effectiveness of strategy in building positions during a decline
Helps evaluate the effectiveness of cost control
The blue line above the red line indicates a choppy downward market
Can help determine if strategy parameters are reasonable

4.3 Capital Curve Analysis

The red line represents strategy returns, while the purple line represents benchmark returns (e.g., Shanghai Composite Index).

Analysis Dimension	Description
Return Comparison	Comparison of strategy returns and benchmark returns Shows relative return advantage The green area indicates excess returns
Drawdown Analysis	Displays the maximum drawdown of the strategy Helps evaluate risk control effectiveness Used to optimize stop-loss parameters

4.4 Data Record Viewing

Detailed trading records and statistical data can be viewed.

Viewing Method:

Click the dropdown arrow next to the interval trading button.
Select the type of statistical data to view:
- Total interval profit
- Total interval savings
- Monthly total profit
- Interval trading records
Right-clicking on the capital curve can also show relevant statistics.

Suggestions for Using Statistical Functions:

Regularly check statistical data to assess strategy effectiveness
Compare performance over different periods to optimize parameters
Enhance confidence in strategy execution through statistical data
Be aware of the impact of the overall market environment

Next Steps

Learn how to use more advanced features ➔ Advanced Features