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Stinkfist Strategy: The "Deep Dive Hunter" for Volatile Markets

Nickname: Deep Dive Hunter
Specialty: Volatile Market Bottom-Fishing Expert
Timeframe: 5 minutes (main) + 1 hour (auxiliary)


I. What Is This Strategy?​

Simply put, Stinkfist is:

  • A "bottom-fishing" strategy that excels at finding opportunities in volatility
  • Has dedicated position addition logic (the longer you hold, the higher the threshold)
  • Comes with three layers of price protection
  • Even has BTC and ETH exclusive versions

Like an experienced deep dive hunter 🀿 β€” observing from the surface (1-hour informative layer) to determine dive position, then diving into the water (5-minute execution) to catch prey. And this guy is extra cautious β€” checks safety equipment three times before diving!


II. Core Configuration: "Steady Bottom-Fishing" in Plain Terms​

Take-Profit Rules (ROI Table)​

Time         Profit Target
────────────────────
Immediate 5%
10 minutes 2.5%
20 minutes 1.5%
30 minutes 1%
12 hours 0.5%
24 hours Close and leave

Translation: Just bought in? Target is 5% profit. The longer you hold, the lower the target β€” kind of like chasing a date, passion drops over time.

Stop-Loss Rules​

Stop-loss line: -40%

Translation: 40% hard stop-loss! That's very loose. Like your mom saying "come find me after losing 40%" β€” gives plenty of room for error. But if it actually triggers, it's gonna hurt πŸ˜…


III. Buy Conditions: Two Scenarios, Two Logic Sets​

This strategy has two buy logic sets, let me break them down:

🎯 Scenario 1: New Position (4 conditions must ALL be met)​

Core Logic: Find opportunities near 3-day lows

In Plain English:

"Wait for price to drop to the 3-day low + 80% volatility range area, momentum indicator shows oversold, consecutive decline starts to rebound, and moving averages form a golden cross β€” THEN dare to enter."

4 Conditions Detailed:

ConditionPlain English Translation
Price PositionPrice ≀ 3-day lowest + 80% daily volatility range (bottom-fishing zone)
Momentum Pinball < 30Momentum indicator shows oversold condition
Streak ROC > Lower BandRate of change starting to rebound
MA Cross == 1MA golden cross confirms trend reversal

πŸ”„ Scenario 2: Position Addition (Dynamic Growth Logic)​

Core Logic: Decide whether to add based on holding time and profit

In Plain English:

"Already bought? Then check the situation. The longer you hold, the higher the addition threshold (RMI grows from 30 to 70). And your current trade needs to be profitable to add β€” losing money? No addition for you!"

Dynamic Threshold Table:

Holding TimeRMI ThresholdAddition Difficulty
0 minutes30Pretty easy
3 hours50Medium difficulty
6 hours60Pretty hard
12 hours70Very hard

IV. Protection Mechanism: Three Layers of "Anti-Pitfall" Design​

Every buy comes with three protection layers, like three insurance policies:

Protection TypeFunctionPlain English
Entry Price ProtectionReject when order price vs. current price deviation > 1%"Don't try to slip me!"
Buy Timeout CheckCancel order when price deviation > 1%"Price changed? Don't want it!"
Sell Timeout CheckCancel order when price deviation < 1%"Price changed? Not selling!"

Like going shopping:

  1. Before entering: Ask price first, if current price is 1%+ higher than listed price, walk away
  2. After ordering: If price changed again, just cancel the order
  3. When selling: Same logic, prevent getting ripped off

V. Sell Logic: "Run" Depending on Situation​

5.1 Dynamic Stop-Loss: The Longer You Hold, The Tighter​

Holding Time      Stop-Loss Threshold
─────────────────────────
0 minutes -3%
300 minutes 0% (must be profitable to sell)

Plain English:

  • Just bought: Allowed to lose 3% before running
  • Held 5 hours: Must be profitable to sell (dynamic threshold becomes 0%)

This tells you: The longer you hold, the stricter the stop-loss β€” don't stubbornly hold!

5.2 Sell Signal Combination​

ConditionPlain English
RMI Trend ReversalRMI trend is heading down
Profit JudgmentRun when RMI < 50 if profitable, RMI < 10 if not profitable
Global Position ManagementConsiders all positions when deciding to sell this one

5.3 Global Perspective: This Strategy "Sees the Big Picture"​

# Strategy tracks all positions
other_trades = Number of other trades
avg_other_profit = Average profit of other trades
biggest_loser = Is this one the biggest loser?
free_slots = How many open slots left

Plain English:

"This strategy looks at all your positions. If this one is the biggest loser, it'll handle it first. If there are still open slots, might wait a bit."


VI. This Strategy's "Personality Traits"​

βœ… Pros (Compliment Section)​

  1. Cautious Bottom-Fishing: Three price protection layers, not rushing at every low price
  2. Dynamic Adjustment: Longer hold = higher threshold β€” prevents mindless adding
  3. Global Perspective: Looks at all positions' comprehensive performance, not isolated judgment
  4. Exclusive Versions: BTC and ETH have optimized parameter versions
  5. Informative Layer Assistance: Uses 1-hour timeframe for auxiliary judgment, broader view

⚠️ Cons (Complaint Section)​

  1. Stop-Loss Too Loose: 40% stop-loss, really gonna hurt if triggered
  2. High Complexity: Pile of custom indicators, hard to troubleshoot issues
  3. Position Addition Risk: Adding during trend reversal may amplify losses
  4. Real-time Data Dependency: Frequent price and orderbook fetching, high VPS requirements

VII. Applicable Scenarios: When to Use It?​

Market EnvironmentRecommendationReason
Volatile UptrendRecommendedThis strategy is designed for volatility
Ranging VolatilityRecommendedUse informative layer to find entry points
One-sided DeclineUse CautiouslyPosition addition logic may amplify losses
Low-volatility SidewaysNot RecommendedLacks clear trend signals

VIII. Sub-strategy Versions: BTC and ETH Exclusive Optimization​

πŸͺ™ Stinkfist_BTC (BTC Version)​

buy_params = {
'inf-pct-adr': 0.91556, # Higher entry threshold
'mp': 66, # Higher momentum threshold
}
use_sell_signal = False # Disable sell signals

Plain English: BTC version is more "zen" β€” higher entry threshold, and simply disables sell signals, fully relying on ROI table to exit. Like "I won't actively sell, let the system sell for me."

πŸ’Ž Stinkfist_ETH (ETH Version)​

buy_params = {
'inf-pct-adr': 0.81628, # Moderate entry threshold
'mp': 40, # Lower momentum threshold
}
trailing_stop = True # Enable trailing stop
trailing_stop_positive = 0.014
trailing_stop_positive_offset = 0.022

Plain English: ETH version is more aggressive β€” lower entry threshold, and enables trailing stop, suitable for ETH's volatility characteristics.


IX. What Market Can This Strategy Make Money?​

9.1 Core Logic: Deep Digging for Volatility Opportunities​

Stinkfist is a volatile market bottom-fishing strategy. Its money-making philosophy:

  • Informative Layer Observation: Use 1-hour timeframe to see 3-day lows and volatility range
  • Dynamic Position Addition: Longer hold = higher threshold β€” prevents mindless adding
  • Global Management: Look at all positions' comprehensive performance
  • Price Protection: Three layers of mechanism to prevent slippage

9.2 Performance in Different Markets (Human Version)​

Market TypeRatingPlain English Explanation
πŸ“ˆ Volatile Uptrend⭐⭐⭐⭐⭐This is home turf! Use volatility to find pullback buying opportunities
πŸ”„ Ranging Volatilityβ­β­β­β­β˜†Strategy design intent, effective with informative layer
πŸ“‰ One-sided Declineβ­β­β˜†β˜†β˜†Position addition logic may get you deeper and deeper
⚑ Low-volatility Sidewaysβ­β­β˜†β˜†β˜†Can't find signals, low capital utilization

One-sentence Summary: Volatility is friend, one-sided decline is enemy!


X. Want to Run This Strategy? Check These Configurations First​

10.1 Trading Pair Configuration​

Configuration ItemRecommended ValueComment
Number of PairsStart with 1-5Don't be greedy, complex strategy needs gradual approach
Timeframe5m + 1hDon't change, this combination is intentional
max_open_trades3-5Leave room for position addition logic

10.2 Hardware Requirements (Important!)​

This strategy needs real-time price and orderbook data, has hardware requirements:

Number of PairsMinimum MemoryRecommended MemoryExperience
1-5 pairs2 GB4 GBSmooth
5-20 pairs4 GB8 GBOkay
20+ pairs8 GB16 GBWatch for timeouts

Warning: This strategy frequently calls API to get current prices, low-spec VPS may timeout!

10.3 Backtest vs. Live Trading​

Live trading may differ from backtest:

  • Price Protection Logic: Backtest can't fully simulate slippage protection
  • Position Addition Logic: More sensitive in live trading
  • Global Position Management: Backtest may not fully reflect

Recommended Flow:

  1. Backtest with default parameters first
  2. Then dry-run with single pair
  3. Confirm price protection mechanism works normally
  4. Gradually expand to multiple pairs

Don't go all-in from the start, no matter how good the strategy is, it needs磨合!


XI. Easter Egg: Strategy Author's "Little Thoughts"​

Looking closely at the code, you'll find some interesting things:

  1. Strategy Name from Tool Band's Song:

    "Stinkfist is Tool band's classic song, embodying the design philosophy of deep digging."

  2. All Custom Indicators Self-Implemented:

    "MA Streak, PCC, MAC all self-implemented, no external library dependency β€” this author is a hardcore player!"

  3. Cache Mechanism Uses TTLCache:

    "Price cached for 5 minutes, reduces API calls β€” this author is detail-oriented!"


XII. Final Words​

One-Sentence Review​

"Deep dive hunter for volatile markets, triple protection + dynamic position addition + global perspective, but watch out for one-sided decline risk!"

Who Is It For?​

  • βœ… Volatile market lovers
  • βœ… Traders who like bottom-fishing
  • βœ… People who can handle complex strategies
  • βœ… Those with sufficient VPS resources

Who Is It NOT For?​

  • ❌ One-sided bull market chasers
  • ❌ People who like simple strategies
  • ❌ Low-spec VPS users
  • ❌ People who can't tolerate 40% stop-loss

Manual Trading Recommendations​

  1. Use 1-hour timeframe to see 3-day lows
  2. Wait for price to enter "bottom-fishing zone" (3-day low + 80% volatility)
  3. Use RMI and moving averages to confirm trend
  4. Set dynamic stop-loss, don't stubbornly hold

XIII. ⚠️ Risk Emphasis Again (Must Read This Section)​

Backtest Looks Beautiful, Live Trading Be Careful​

Stinkfist's historical backtest performance may look great β€” but there's a trap:

Complex strategies easily "fit" past market's optimal solution, but this doesn't guarantee future profits.

Simply put: Past report card doesn't equal final exam score!

Hidden Risks of Complex Strategies​

In live trading, complex logic may cause:

  • Price Protection Frequent Triggers: Orders may keep getting cancelled during high volatility
  • Suboptimal Position Addition Timing: Adding during trend reversal amplifies losses
  • Too Many API Calls: Frequent price fetching may cause rate limiting

My Recommendations (Honest Words)​

1. Start testing from BTC or ETH exclusive versions
2. Initially only use 1-2 trading pairs
3. Set tighter stop-loss than 40% (like -20%)
4. Observe price protection trigger frequency
5. Confirm acceptable before scaling up

Remember: Volatile markets are opportunities, but also traps. No matter how good the strategy, the market won't give notice when teaching lessons. Light position testing, survival comes first! πŸ™