Algorithmic trading system achieving profitability through systematic pattern analysis
Cryptocurrency futures markets exhibit complex patterns that require systematic analysis. Manual pattern identification is inconsistent, and traditional strategies often fail to adapt to changing market conditions.
Systematic trading system analyzing 395 trades to discover 6 critical optimizations. Achieved profitability with 22.4% win rate and 4.75:1 reward-to-risk ratio through multi-regime adaptation.
Pattern-driven optimization analyzing 395 trades across 10 dimensions. Discovered counterintuitive insight: 22% WR with 4.75:1 R:R beats 30% WR with 1.5:1 R:R. Multi-timeframe validation revealed scope limitations.
Phase 1A: Data Infrastructure - Deribit/Binance API integration, data normalization, historical data caching system
Phase 1B: Strategy Framework - Momentum/mean reversion strategies with volatility regime detection
Phase 1C: Optimization - Pattern analysis across 395 trades discovering 6 critical optimizations
Phase 1D: Validation - Multi-timeframe testing (5-minute and hourly data across 5 years) to find limitations
Phase 2: Paper Trading - IBKR testnet validation (planned)
Phase 3: Live Trading - Production deployment with risk management (future if validation successful)
Transferable skills and capabilities beyond the technical implementation
Initial strategy losing (-2.45% ROI). Analyzed 395 historical trades for patterns instead of blind parameter tuning. Discovered 6 critical patterns, achieved +0.55% ROI through targeted optimization.
Lower win rate (22%) with higher R:R (4.75:1) is MORE profitable than higher win rate (30%) with poor R:R (1.5:1). Domain expertise: knew to focus on expected value, not win rate.
Short-term validation showed profitability. Tested on 5-minute AND hourly data across 5 years. Discovered timeframe-specific behavior - works for scalping, not swing trading.
AI tested 631 trades in hours (would take weeks manually). Human decided stop loss widening despite lower win rate. Result: R:R improved 3x, strategy became profitable.