Highly Profitable Stochastic + RSI + MACD Trading Strategy? Testing Data Traders strategy in Python
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- Опубликовано: 2 июн 2024
- In this video I am backtesting / testing the Stochastic Slow RSI MACD Trading Strategy presented by Data Trader. It seems to look good on Forex markets and Cryptos (Bitcoin, Ethereum).
Get the source code / notebook by becoming a Tier-2 channel member her:
/ algovibes
If you find this interesting please consider subscribing. Thanks in advance :-)
Have a look at my other videos. I am not going much into details about topics I have already covered recently.
Videos which will be helpful:
• Backtesting Rayner Teo...
Data Traders video:
• Highly Profitable Stoc...
Stochastic Osciliator including %K & %D line explained:
www.investopedia.com/terms/s/...
#Python #Trading #Strategy
Disclaimer:
This video is not an investment advice and is for educational or entertainment purposes only.
00:00 - 01:49 Strategy Explanation
01:49 - 04:49 Calculating technical indicators
04:49 - 08:05 Explanation of how trigger signals are attained
08:05 - 11:32 Get the triggers for Buys and Sell
11:32 - 14:07 Buying/Selling condition (Trigger, Stochastic, RSI, MACD)
14:07 - 16:58 Buying and Selling Dates
16:58 - 19:30 Avoid meaningless or multiple positions
19:30 - 21:10 Profit Calculation
21:10 - 23:40 Visualizing the Signals
23:40 - 25:29 Testing the strategy on Cryptos (BTC and ETH)
![Backtesting Rayner Teos RSI SMA Trading Strategy in Python [Part II]](http://i.ytimg.com/vi/rYfe9Bg2GcY/mqdefault.jpg)
Thanks a lot for the videos. Learning a lot from them already.
In case you need to stop the warning messages regarding the df.append deprecation, replace the commented line below, with the bottom 2 lines:
#dfx = dfx.append(mask, ignore_index=True)
dfxn = pd.DataFrame([mask])
dfx = pd.concat([dfx, dfxn])
Thanks a lot for your input mate, appreciate it!
I love to see it. My first time seeing your channel, this is very interesting to me Ive never used an algorithm before but these are the 3 indicators I trade off of with heavy bias to the stochastics. This would really make my life a whole lot easier
Thanks for your feedback buddy :-)
Very clear and brilliant! As always, tks!
Thank you buddy! :-)
Cool! Nice to discover a fellow algo trader. ❤️
What can we say except priceless content!!
Thank you very much for your kind words 💜
Great Job! Thank for your sharing.
Thx for watching Tommy :-)
Thanks for the videos, very informative and I always come away learning something new. 👨🎓
Very happy to read. Thanks mate! Be invited to check out my other vids and let me know what you think!
Thanks for sharing this video it was very helpful! I am new to python and was just curious as to why you chose lags=4, and how the output would be different if you chose another value?
Thanks for sharing your skills, maybe you could add a condition to the Stoch to be increasing or decreasing when it's greater than or less than...and also to the mac's histogram to be increasing.
Your content is awesome! Please keep doing the great job!
I would like to suggest for you to do something with divergences, I’m trying to build something with it but I’m stuck.
www.google.com/url?q=ruclips.net/video/9o6BG-dCgco/видео.html&sa=D&source=editors&ust=1631517918283000&usg=AOvVaw0y4I1XE4AvOWsy3w3fxlTf
This is the strategy that I’m trying to backtest
Thanks a lot for your kind words and also for sharing the strategy. Really appreciate it.
just wonderful, thank you
Thank you my friend!
This is great love your content
Thanks buddy
excellent RUclips channel, congratulations, I ask you a question, where could I include the balance variable in testing mode, to know if it gives me profits or losses, the script
Thanks for the video. I found a 15m timeframe with a 20 lookback provided better results on BTC-USD but I used a MACD over/under Signal trigger instead of MACD over or under 0 etc.
Thanks for watching and sharing your strategy!
Great videos! If we join at the code access level, do we have access to previous videos code books, like this one? I've watched many of your videos and want all of them :-). But not sure if you have a repository still of these code books from 6 months or more in the past?
Hi man, thanks a lot! :-)
There are already a lot of notebooks (including this one) in the drive but if you need older ones you can also reach out.
Happy to welcome you as a member!
Nice and clear video. Looking forward to the exit strategy of this strategy.
Hi buddy, thanks a lot :-)
Brilliant!
thanks buddy. Happy you like it!
That was great, everything explained very simply and straight, thank you.
Have you thought about creating bot based on triple SuperTrend, RSI and EMA?
Thanks for watching man! Not yet but I noted it, thanks for the suggestion! BTW I have built a bot based on that strategy as well, be kindly invited to check it out.
Thank you Algo for the videos.
Do you have any video in which you BACKTEST some strategy in which you define EntryPoint and then set "take Profit" and "Stop Loss"?
Thanks a lot Mauro,
yeah, pretty sure I covered it here:
ruclips.net/video/4MnNft7Squk/видео.html
Thanks for this video. I have a question. Which is more beneficial in long run for Algo trading? Python or mql5. And why?
Great video Sir
Thank you my friend!
Nice bro!
Thx buddy :-)
Matlab fanatic here that cannot connect to brokers API so it's learning Python. Thank you for these videos
I think here makes more sense to buy when RSI is
Nice :-) Welcome to my channel, I basically got over 180 videos which you are kindly invited to check out.
@@Algovibes I really am doing it!
but simple question, if I want to plot the data from stock, or RSI, without the weekend, how do you do?
on matlab is supereasy, but here I couldn't find anything immediate
Super. One suggestion, when you are explaining about programming the indicators, first show it on chart as it becomes easy to visualize while coding.
Thanks for the suggestion!
Could you perhaps do a video where you introduce stop loss and take profit levels in the pandas backtest ? I think this would make it even more realistic as this is how most of us trade .
Hi buddy,
did you already check the vid implementing a trailing stop loss?
ruclips.net/video/V6z1ME3-0_I/видео.html
nice havent done any crypto strategies. first time using ta. helps me get better at python.
That's awesome to hear! :-)
Thanks for this one! Did you manage to code the crypto bot with this one? I'd be interested to see the results :) Also, I was following your video but wanted to implement the exit strategy of the original video (x% of profit) but I'm currently stuck. I'm new to Dataframes, but I guess I need to keep track of the buying price using the buying triggers you showed in the video, and whenever the buying price meets the exit condition (this is the part I'm struggling to do with DFs) sell the position. Do you have an example in another video where you keep track of buy price in the position and match it with a row in DF that meets the condition to sell and so on? I've found videos in your channel that have exit condition independent of buying condition (example cross SMAs), but it's getting difficult when your selling condition depends on your buying price.
Welcome mate. Yes, I already did that here:
ruclips.net/video/X50-c54BWV8/видео.html
Regarding your 2nd question, can you check this one here?
ruclips.net/video/rYfe9Bg2GcY/видео.html
I think I was doing something in the direction. Ofc correct me if I got you wrong.
Hi Martín, did you figure out how to incorporate a stop loss or take profit into this backtesting code? I've been spending many hours trying to work it out using the same logic you were suggesting of defining the buy price by referring to the close price on the same row as where the buy condition occurred. But my python knowledge is near non existent so I'm having a lot of trouble!
I would like to suggest a dollar cost average video on spy or another stock, with variable amount or day of the month
The actuals test will always drop the first buying date, right? In practice, I think a different exit strategy would work better than waiting for the next sell signal. The sell signal would be a better short entry than a long exit.
Thanks for your video. Amazing content.
Why can't you have a buy trigger when the stoch fast (K) and slow (D) lines are below 20?
Or have a a sell trigger when the lines above 80?
These seem to be the stronger oversold and overbought "regions".
in you video you stipulated the signals to be between (20.80).
Thanks a ton Pedro! Was just sticking to the strategy presented by DT. But ofc do your amendments and test them. If you find anything interesting let me know!
Great vid, I was wondering wondering how much higher the profit was compared to the increase in value
Thanks mate, good question! Should have covered that, good point.
At 6:00 you begin code to apply the Boolean mask to df. shift(1) looks at the previous row of df, correct? If so then why is an error not generated when it runs that over the first row of df because there is no row before it?
Shift is just shifting a whole column one row "downwards".
I explained it in more detail here:
ruclips.net/video/X9jjyh0p7x8/видео.html
@@Algovibes I think my question still applies. If you shift the column down then wouldn't the first row value be NaN? In the video you linked, with regard to Volume you included .dropna() next. Why don't you have to do that here? Thanks!
I actually tested this by making a list into a df and then trying df > df.shift(1) . The first cell is False. So I guess my question is why isn't that first cell a "name error" with NaN not being defined?
Thanks for these videos, I am learning a lot from you.
One thing I noticed is that when you calculate the actuals using "actuals = frame[frame.Buying_Dates > frame.Selling_Dates.shift(1)]", it works but is always removing the first row of the frame (even if it's a valid pair of dates). Maybe for the first row when it tries to do a comparison to a non existing previous selling date it returns false, hence removing the row. In your video you can observe that the first two lines are removed. The 2nd one correctly removed because of the logic, but the first one should have remained. Check 18:54 and then 19:10.
Can you think of any solution to not trim the first line? For now I didi as :
actuals = frame[(frame.Buying_Dates > frame.Selling_Dates.shift(1)) | (frame.index==0)]
Hi man, thanks a lot. That's awesome to hear.
Yes, I am aware of that and covered it here at around minute 13:
ruclips.net/video/rYfe9Bg2GcY/видео.html
@@Algovibes cool , will implement that approach, its cleaner, thanks
I tested for a whole day and no trades have been detected. However the conditions were present many times in Binance. Thank you anyway for your efforts. Go on
Hi buddy. This shouldn't be the case but I am quite sure it is most probably because of the lag method. If you are just working without lags it should always hit when the conditions are present.
Hi, AlgoVibes. I'm commenting from South Africa. I love your videos. I just want to know what IDE are you using in this video?
Hi buddy, greetings to 🇿🇦 ! Thanks a lot for your kind words.
I am using Jupyter Notebook here (rather not an IDE).
@@Algovibes Thanks bro. Keep up the good work :-)
So good tnx 👌🙏
Thanks a lot mate! :-)
ótimo video!
Obrigado 😛
Thanks a lot, for the effort you put in. All your videos are really helpful!
I get an error with the actuals;
TypeError: '
Thanks mate. Can you pass me a timestamp where you are getting this error? thx!
Nice video and very clear even if we are not expert coder. However I noticed all your videos are based on historical datas from yf and not "real time" API where you would have a slightly different logic of coding right ? I don't know if that makes sense but I would love watching a next video with Binance API for example :)
Cheers.
my bad I think you made one
Yep, I have a whole playlist on live implementations. Anyhow thanks a lot for your comment :-)
ruclips.net/p/PL9ATnizYJ7f8_opOpLnekEZNsNVUVbCZN
Another great knock by Algo vibes. Can you share some binance futures startegy where we can use LONG and SHORT for futures trading.
Thank you very much Abenesh!
Thank you. I hope I gonna understand it one day (I'm a rookie)
Thanks for watching :-) Fingers crossed!
Hi bro, thank your for your amazing videos, please upload more videos about binance algorithmic trading
Hi mate, thanks a lot for your kind comment.
I surely will.
what macbook version do you have? thank you btw i'm your fan ~
M1 Mac, thanks buddy :-)
Love this video
Can't help but feel it worked better on crypto because they generally had/have a bullish market.
I mean look at ETH, one good GREEN trade cancels out like three wrong REDS
Thanks a lot David! I applied that on crypto here in case you are interested:
ruclips.net/video/X50-c54BWV8/видео.html
Let me know what you think!
Great Video!
Copied this code down to try and mess around and noticed when doing the following line, certain valid trades on the initial rows were being dropped:
actuals = frame[frame.Buying_dates > frame.Selling_dates.shift(1)]
I managed to get around this by implementing the following instead:
drop_rows = []
for i in range(len(frame) -1):
if frame.iloc[i].Selling_dates == frame.iloc[i+1].Selling_dates:
drop_rows.append(i+1)
actuals = frame.drop(index=drop_rows)
This just loops through and drops the next row if the selling date of the current iteration matches the next row and thus removing duplicates etc whilst still maintaining the valid trades that appear to get dropped on the previous method...
I'm sure there's a slightly cleaner way of dropping within the loop but my brain is slowing down for the day!
Would love to get your comments or feedback on this! Thanks again or the video, top stuff :)
Hey man, thank you very much. I am sorry coming back so late to you, this comment was running into the held of review section.
This is too complicated.
just use:
actuals = frame.drop_duplicates(subset = 'Selling_dates', ignore_index = True)
@@deniszhuravlev9874 Nice one!
Was quite early in to writing code then.. simplicity is always the answer
thanks for the good tutorial. can you please make video on back testing?
Thx :-)
Already got some videos on that. Could you elaborate on what you would be interested in? Thanks in advance!
@@Algovibes Yes, I am go throughout All videos in your play list. Thanks for you making such a good videos.
Hi Algo. Great stuff! Keep it up. Question, i replaced the yfinance lib with the binance API to be able to back test what ever coin with no 60day limit that yfinance has. But when I compare results you show here with BTC I get diff results. Any feedback is greatly appreciated. Thx!
Thanks mate. Could you elaborate a bit more on what's exactly different. Thx a lot in advance
@@Algovibes of course! and thx for all the support. I'm using this dataframe with the binance api pd.DataFrame(client.get_historical_klines('BTCUSDT', '30m', '15 Jul, 2021', '10 Sep, 2021')) . Trying to simulate the same timeframe you have in this video, but I only get 1 entry in the actuals. Why could it be?
@@_eFe_666 I just executed this exact syntax and I got 2728 rows. Can you double check?
@@Algovibes Correct! That is the amount of rows in the dataframe. But then after all the triggers and calculations buy_dates/sell_dates and buyprices/sellprices sin in this video I only get 1 (one) row in the ACTUALS frame. How about you?
@@Algovibes So my doubt is if the result could be that different using the yf lib or the binanace api ?
Hi, nice content and understandable for me as a beginner in crypto. Would an AI be better to find a trading strategie? You just need many more datas but with the api of binace it should not be a problem.
Thanks man. Yes, applying ML is on my list. Anyhow thanks a lot for your suggestion.
@@Algovibes you habe so much knowladge about stock that you could make one big table of data from binance with f.e. the heatmap of coalition between the coins as bias that make the ML realy great
MVP
:D thanks!
Nice content but I would have integrated the brokerage fees into account, and checked also the stock trend in the same period to avoid overly optimistic results.
Also, I think that using a proper backtesting library in python would be great to have rigorous backtesting results.
Thanks for your feedback and sharing your thoughts!
@@Algovibes Hi How can I contact you for some explainer videos for my indicators strategy ?
What do you consider as a 'proper backtesting library'?
I tried coding your strategy is really helpful,but i suggest that we can count the sum of triggerring the strategy in a period,which is sorted,then choosing the top 5 stocks,that i called "hot stocks".It's not mature suggestion,just an idea shared😄
Thanks mate for your comment and also for sharing your thoughts!
@@Algovibes i am Continuing learnning your lesson,it's easy to start by your ways,thanks a lot😁
What is the timeframe on these trades? 500 data points for 30 mins is around 10 days? 15% in 10 days is pretty good. Should be interesting to test on different market states (bull, bear, sideways)
I think a bit more. First trade was end of July, last trade was end of august.
@@Algovibes Ah ok, still pretty good if it would work consistently
In TA-Lib-0.4.24, ta.momentum attribute is not there, hence can you please provide the alternative, Thanks
Using ta here and not talib! It's a different library, can you double check?
Can you help with this error when running the bot: 'ConnectionError: ('Connection aborted.', ConnectionResetError(10054, 'An existing connection was forcibly closed by the remote host', None, 10054, None))'. Thanks
this was with a binance connection
Can you just instantiate the client again? So just execute client = Client(api_key,api_secret) again.
Let me know if that solved the problem.
@@Algovibes Thank you for your advise. It does open the connection again. My problem is that when tis error occurs it will stop the bot and I have to manually restart it.
I just saw your video 'altcoin [high risk] live trading bot' and in it you included the solution to my problem. Thank you very much for your advise and for all your programs. You are a genius.
How is the result of the trading strategy compared to just investing in the asset?
Looks like Btc outperforms. I appreciate the video, but unless the strategy is incedibly good in bear markets it doesnt look very good.
is it possible to keep track of the trading fees along with the trades ?
Yes! Covered fees e.g. here:
ruclips.net/video/HB1CLz0Z1NY/видео.html
@@Algovibes great, thank you for your job and for the feed-back. good luck.
As for other videos very interesting! I am asking to you if and where I could find the script to C&P on Phyton3 to try and experiment with this strategy with a demo account.
Thanks mate. For code access you are warmly invited to become a channel member here:
ruclips.net/channel/UC87aeHqMrlR6ED0w2SVi5nwjoin
please make a video to code relative strength of a stock i am new to coding that indicator i am listining a lot
Hi buddy, thanks a lot for your comment :-)
Did you check out the RSI videos?
e.g. here:
ruclips.net/video/pB8eJwg7LJU/видео.html
and here:
ruclips.net/video/rYfe9Bg2GcY/видео.html
@@Algovibes i have watched most of your videos but i am not talking about rsi rs to index
@@sumeetsheokand8886
Ah I See.
Did you watch the momentum videos?
Example momentum videos:
ruclips.net/video/5W_Lpz1ZuTI/видео.html
and
ruclips.net/video/YIsKSQh1xpY/видео.html
If that's also not what you are looking for, could you elaborate? Thanks in advance!
Goog Morning and Thanks for your Video.
How can i download source code of your script?
Thanks
Hi buddy, thanks a lot for your comment.
Source code isn't published anywhere yet.
fantastique
Thank you mate :-)
But due to the fact that cryptos now are fluctuating, can I use this strategy, if you are to give me advice
My videos are not an investment advice nor do I want to give investment advice :-) Simply coding tutorials.
@@Algovibes okay thanks
Greaaaaaaaaaaaaaaaaaat video! In my script, the values no return array, only dict, then, don't measure of result :'(
Thanks a lot for your comment :-) Could you elaborate on when this is happening? Happy to help!
@@Algovibes The return of the profitcalc function is a list [008 -007 006], without comma!
In fact, it should be an array containing: {[008, -007, 006]}... Could you send me your code to compare the execution? Thanks
why to write things that after will be cancelled?
Can you elaborate?
Hi
Can you share the code? Thanks
⭐❤
if you calling strategy you need calculate how much droping and going up.If you find going up and down prices. you find bots :) DCA dolarcost avarage system more profitable strategy but we cant know how to working bulish accounts. And if you cant this. look 15 m chart ADR ATR indicator. ATR its mean avarage true range its mean real price. If you calling more profitable strategy (I bleave you you can) dont ignore ATR.
Thanks for sharing your thoughts buddy!
Can you send me the whole code to run in bybit ...lm blind in code but can't skip a second in ur coding tutorial...l just wish and aspire one day l can code
Algum brasileiro pra me dizer quais os parâmetros ele usou??
Which parameters do you mean?
@@Algovibes the parameters of macd
Please provide the file so that we can directly access the code
I am focussing on content atm. Thanks for your understanding!
Ufff... I don't have this momentum function in ta package ... I really hate this problem ... :(
That can be solved. So you import ta (not ta-lib but ta) right?
Are you developed a robot based on your strategy brother I want develop robot based on strategy can you help me
How can I help?
Present I have a robot .ex4 is it possible to add stop loss condition or can I convert .ex4 into source file and I want to make robot i
Hi brother present I have two robots 1. Expert awesome (it's working on demo account only and not working on real account how can I activate serbo for real account that robot format is .ex4 file only 2.i want add stop loss condition to robot .ex4 file is it possible brother 3. I want make a robot based on my strategy can you help me brother
Waiting for the crypto bot on this strategy
Thanks for your feedback mate! It is coming in the upcoming weeks for sure.
could you upload the code please?
Hi mate,
the engagement is too low on this one. But maybe in the next weeks/months.
A bot on this strategy please using binance api.
Already did that. Be kindly invited to check it out:
ruclips.net/video/X50-c54BWV8/видео.html
please make a bot with this strategy
Already did here:
ruclips.net/video/X50-c54BWV8/видео.html
Be invited to let me know what you think below that vid!
I sent an email for source code, please provide. Thank you!
Hi Ibrahim, just added it to the Drive.
Can you please give ipynb file ?
Didn't publish it yet
Does this even work? Asking for a friend lol
What exactly? :D
Too bad it's not open source ! Bye bye.
All content is free. The memberships help me to keep the content free!
Therefore please don’t leave and also consider becoming a channel member to get access to the code! Thanks a lot in advance and looking forward to have you on board again! :-)
Hello my friend, why is there no ta.momentum.stoch function in the TALIB library
Hi buddy, using ta here which is a different library than TAlib.
Check it out here:
technical-analysis-library-in-python.readthedocs.io/en/latest/
@gettriggers definition, i'm having "TabError: inconsistent use of tabs and spaces in indentation" and could not solve it :(
The error is already providing you the solution. You somewhere messed up with the indentations.
Did have you tried the Pandas_ta library?
Yea, but I prefer ta. Thanks a lot for the input tho!
Goodnight!
I cannot resolve this error:
File "", line 5
mask = (df['%K'].shift(i) < 20) & (df['%D'].shift(i) < 20)
^
IndentationError: expected an indented block
I'm using google collab, If you can help me, I will be very grateful, as I really enjoyed the video.
the first error was resolved but this one appeared:
File "", line 6
else:
^
SyntaxError: invalid syntax
Hi man, thanks a lot for watching.
On first sight these are fundamental errors such as indentation as so on. Be sure that you really understood the flow of execution in Python before going through this stuff. I have a lot of stuff on that in my Python Introduction playlist.