First testing of the completed algorithm began this weekend and both days returned positive results. While these tests were not live trades we did use Saturday and Sunday’s actual Bitcoin data and manually tested the software program. During Saturday our algorithm bought 4 times and sold all 4 making a profit of 2.15% for the day. Sunday saw even better results with 6 buys and 6 sells giving a nice 3.2% daily increase. More testing will follow this week, and coding of the algorithm will continue also, once we have the program running I’ll begin running it over some larger data sets.
Overall, a lot of work has gone into getting this algorithm correct and its pleasing to see it work so well, I have tweaked a few things and the manual walk through testing has really helped change a few parameters to allow for a better overall strategy. For example Saturday’s 2.15% day there was an opportunity to increase the sell points of all 4 trades and a small tweak in the program would of provided a 7% increase for the day, its a smart algorithm and adjusts buy and sell prices on the fly. I am feeling very confident about it now and even after Friday’s big drop where Bitcoin went down 13% in a few hours I think our software algorithm handed the last few days really well, in those circumstances our algorithm would of activated a stop loss pretty quickly and as I documented previously this equals 3 trade wins, so we would of more than made up for Friday with Saturday, Sunday results as posted above.