Improved profit and loss reporting
#2
To follow up on the discussion here: https://github.com/askmike/gekko/issues/...-379536861

Quote:When trading, selling is just as risky as buying. The situation is symmetrical, selling one currency is the same as buying the other. The risks are that the price goes up further after you've sold, or goes down even lower after you've bought.

I should make it more clear on what set of assumptions Gekko is build, but "selling one currency is the same as buying the other." is definitely not true from Gekko's perspective: how can you measure risk and exposure to some market if you consider both things on that market to be dangerous to hold? All of Gekko's risk and exposure metrics (and the whole roundtrip system) is based on the assumption (in case of BTC/USD) that USD is your benchmark and you are trying to trade BTC in order to increase the amount of USD you have, but holding USD is never risky. Yes USD can technically lose value through inflation or compared against the euro, but that's out of scope for Gekko.

Quote:The risks are that the price goes up further after you've sold, or goes down even lower after you've bought.

The first one is definitely not a risk, if that happens you don't lose any money. I also would never say strategies that fail to sell at the top are bad.

Quote:Trading a partial balance helps mitigating this risk. It allows you to 'walk into' your position. When you've bought some and the price unexpectedly drops, you can buy some more. This brings the average price at which you bought, closer to the bottom price.

Very true, I 100% agree with the benefits. I don't think we should not build this because it's a bad feature. I just think that's it is a very hard feature to properly build in a way where everyone will understand what is going on (and like how it is displayed).

Quote:I have nothing fancy in mind for the interface. Simply a table for each traded currency pair as above in the OP. And maybe one overview table that shows all traded currency pairs and a summary of the result.

I am not talking about complex UI elements, I think it's very hard to create one simple table that has all the information and is understandable by everyone. Note that PnL is a concept that is usually only used when doing more advanced stuff like trading on leverage or future trading. For the reason that it all of a sudden you are abstracting all your trades away into new concepts.

Quote:Every trade is managed and reported as a leveraged position. Even though the leverage is 1x

As soon as Gekko starts reporting 1x leverage and/or short trades while trading the spot on exchanges like bitfinex and poloniex (exchanges that offer both spot and margin trading) it's going to be extremely confusing for everyone. Also remember that leverage is very hard to grasp for new traders (the majority of people opening tickets and asking questions about gekko).
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Messages In This Thread
Improved profit and loss reporting - by Hilko - 04-08-2018, 09:02 AM
RE: Improved profit and loss reporting - by askmike - 04-08-2018, 12:52 PM
RE: Improved profit and loss reporting - by Hilko - 05-19-2018, 05:45 PM
RE: Improved profit and loss reporting - by Hilko - 05-20-2018, 08:57 PM

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