Gap-up-down-strategy

1. Overview

This software allows users to perform live and backtesting of stock trading strategies using gap-up and gap-down logic. The tool fetches live data or historical data, calculates potential trade opportunities, and allows users to configure a strategy based on user inputs. The software also sends alerts via Telegram and provides detailed trade logs and reports.

2. Features

• Live Trading Mode: Execute strategies based on real-time stock data.
• Backtest Mode: Perform backtesting of historical stock data.
• Gap-Up and Gap-Down Strategy: Identify stocks where the current day’s open price is above the previous day’s high (gap-up) or below the previous day’s low (gap-down).
• Target and Stop-Loss Configuration: Set target percentages and stop-loss for each trade.
• Telegram Alerts: Send alerts for trades and periodic summary reports via Telegram.
• Detailed Trade Logs: Keep a record of trades, profits/losses, and generate summary reports.
  

  3. Setup Requirements

  • Desktop (windows,Linex)

• 4. How to Use the Software

  Step 1: Start the Software

  1. Run the exe file by double click

1. The software will launch a graphical user interface (GUI).

Step 2: Configure Telegram Settings

1. Telegram Token: Obtain a bot token from BotFather on Telegram.
2. Telegram Chat ID: Obtain your Telegram chat ID (the ID of the chat or channel where you want to receive alerts).
3. Enter the Telegram Token and Chat ID in the respective fields.
4. Click Save Telegram Settings to save these details.

Step 3: Set Target and Stop-Loss

1. Enter your desired Target Percentage. This defines the percentage increase at which the system will attempt to sell or book profits.
2. Enter the Stop-Loss Percentage. This sets the loss threshold, and if the stock price falls by this percentage, the system will trigger a stop-loss.

Step 4: Configure Report Interval

1. The Report Interval defines how often the software will send a detailed summary report (in minutes). The report will include the total buy/sell calls, net profit/loss, and status of trades.

Step 5: Choose Candle Time Frame

1. Select the time frame for each candle (e.g., 5m, 15m, 1h). This sets the interval for fetching stock data.

Step 6: Configure Gap-Up and Gap-Down Action

1. Select Gap-Up Action (Buy, Sell, or Both): This controls whether the software will place buy or sell orders based on the gap-up conditions.
2. Select Gap-Down Action (Buy, Sell, or Both): This configures how the software handles gap-down situations.

Step 7: Set Start and End Dates (for Backtesting)

1. If running in Backtest Mode, use the Date Picker to set the start and end dates of the historical data range you wish to analyze.

Step 8: Choose Mode

1. Choose between Live Mode or Backtest Mode.
   • Live Mode: The software will fetch real-time data and execute trades accordingly.
   • Backtest Mode: The software will simulate trades using historical data based on the configured settings.

Step 9: View Trade Opportunities

1. The software will display Stocks to Sell and Stocks to Buy based on the gap-up and gap-down strategies in the listboxes.

Step 10: Execute the Strategy

1. Click Execute Strategy to start the strategy. The system will start monitoring stocks based on the selected settings and will automatically log trades and send Telegram alerts.

5. Telegram Alerts

• Once the software is running, you will receive alerts in Telegram when:
  • A buy/sell trigger is hit.
  • A target or stop-loss is reached.
  • A summary report is generated at regular intervals.

6. Detailed Report

The detailed report sent to Telegram includes:

• Total Buy Calls: The number of buy trades triggered.
• Total Sell Calls: The number of sell trades triggered.
• Total Trades Booked: The total number of closed trades (target or stop-loss hit).
• Open Positions: The number of trades still active (i.e., no target or stop-loss hit yet).
• Net PnL: The total profit or loss from all trades.

7. Trade Logging

The system keeps a log of all trades in memory, which is used for generating the reports. The log includes:

• Stock Name: The symbol of the stock traded.
• Action: Whether the trade was a buy or sell.
• Entry Price: The price at which the trade was triggered.
• MTM (Mark to Market): The profit or loss based on the latest stock price.
• LTP (Last Traded Price): The most recent price of the stock.
• Status: Whether the trade is open or booked (i.e., target or stop-loss hit).

8. Software Flow

1. Start GUI: The user configures the software using the GUI.
2. Execute Strategy: The system fetches live or historical data based on user inputs.
3. Gap-Up and Gap-Down Logic: The system evaluates whether the current day’s open price is a gap-up or gap-down compared to the previous day.
4. Buy/Sell Triggers: Based on the gap-up or gap-down logic, the system places buy or sell orders.
5. Monitoring and Alerts: The system monitors trades and sends alerts to Telegram. A summary report is also generated at user-defined intervals.

9. Code Structure

• Gap-Up/Gap-Down Strategy: The core trading logic that determines whether the stock’s opening price has gapped above or below the previous day’s high/low.
• Telegram Integration: Functions to send trade and summary alerts to the user via Telegram.
• Trade Logging and Reporting: Functions to keep track of trades and generate detailed reports, including profit and loss.

10. Common Issues & Troubleshooting

• Telegram Alerts Not Working: Double-check the Telegram bot token and chat ID. Make sure you have internet access.
• Data Fetching Issues: If you’re experiencing problems fetching stock data, ensure that you have an active internet connection and that the stock symbols are correct.
• Incorrect Profit/Loss Calculations: Ensure you have set the correct Target and Stop-Loss percentages in the configuration.

11. Sample Configurations

Example 1: Live Mode Trading

• Target: 2%
• Stop Loss: 1.5%
• Candle Time Frame: 5 minutes
• Gap-Up Action: Buy
• Gap-Down Action: Both
• Report Interval: 30 minutes
• Mode: Live Mode

This configuration will monitor stocks in real-time and place buy orders when a gap-up is detected. It will also trigger both buy and sell orders for gap-down situations. Reports will be sent every 30 minutes.

Example 2: Backtest Mode

• Start Date: 01-01-2023
• End Date: 01-03-2023
• Target: 1%
• Stop Loss: 1%
• Candle Time Frame: 15 minutes
• Gap-Up Action: Sell
• Gap-Down Action: Buy
• Mode: Backtest Mode

This setup will simulate historical trades based on the date range provided. It will execute sell trades on gap-up and buy trades on gap-down triggers.

12. Final Notes

• This software is designed for educational and analytical purposes. Always thoroughly backtest any trading strategy before using it in live markets.
• You can modify and enhance the code to suit your specific trading needs.

If you have any questions or encounter issues, feel free to ask!