MFRider Trading Strategy Documentation

1. Introduction

MFRider is an advanced momentum-based strategy that combines trend-following principles with dynamic DCA. Designed to ride the wave of the market with precision and adaptability, MFRider optimizes capital allocation, trade execution, minimizes risk, and ensures consistent performance across varying market conditions.

2. Key Features

2.1 Smart Entry & Dynamic Buying

• Uses market conditions to identify optimal entry points.
• Implements Dynamic Dollar-Cost Averaging (DCA) to accumulate positions strategically.
• Avoids emotional trading by maintaining disciplined execution.

2.2 Intelligent Profit-Taking Strategy

• Locks in gains through tiered selling at predefined resistance levels.
• Maximizes profitability while ensuring consistent profit extraction.

2.3 Advanced Risk Management System

• Dynamically adjusts trading parameters based on capital and market conditions.
• Implements intelligent stop-loss and take-profit mechanisms.
• Ensures capital protection while optimizing risk-reward ratios.

2.4 Execution & Automation

• Prevents overtrading by spacing out trades strategically.
• Ensures execution efficiency while minimizing trading fees.
• Allows flexible configuration of buying, selling, and cooldown behaviors.

3. Essential User Parameters

These are the most important settings that must be configured before using MFRider:

Parameter	Default Value	Description
TRADING_LIMIT	5	Defines the minimum base amount allocated per trade.
MF_CAPITAL	500	The total capital allocation for the strategy per trading cycle. Recommended: 100x Trading Limit.
PERIOD	5m	The timeframe used for primary calculations. Available options: 1m, 5m, 15m, 30m, 1h, 4h.
PERIOD_LONG	4h	The extended timeframe used for trend confirmation. Available options: 1h, 4h, 6h, 12h, 1d.

4. Risk Management & Strategy Settings

These parameters influence strategy performance and should be adjusted based on market conditions and risk tolerance.

Parameter	Default Value	Description
AUTO_GAIN	Enabled	Automatically adjusts profit targets based on market conditions.
GAIN	2%	Defines the minimum manual profit target per trade. auto_gain must be off for this to be in effect
ENABLE_TRAILING	Enabled	Activates trailing stop-loss for profit maximization.
TRAILING_SPREAD	2%	Sets the percentage distance for trailing stops to follow price.
ADX_THRESHOLD	25	Minimum ADX level for detecting strong market trends.

5. Execution & Automation Settings

Parameter	Default Value	Description
BUY_ENABLED	Enabled	Allows the strategy to place buy orders.
SELL_ENABLED	Enabled	Allows the strategy to place sell orders.
STOP_AFTER_SELL	Disabled	Stops trading after a position is sold.
FIRST_TRADE_MULTIPLIER	Disabled	Allows the strategy to determine the initial trade size dynamically.
ENABLE_DCA_MULTIPLIER	Disabled	Enables dynamic DCA volume adjustments.
MAX_DCA_MULTIPLIER	3	Maximum multiplier applied to DCA orders based on market conditions.

6. Technical Indicators & Momentum Settings

Parameter	Default Value	Description
RSI_BUY_LEVEL	30	RSI level below which the strategy considers buying.
RSI_SELL_LEVEL	70	RSI level above which the strategy considers selling.
STOCHRSI_BUY_LEVEL	30	StochRSI level below which the strategy considers buying.
STOCHRSI_SELL_LEVEL	70	StochRSI level above which the strategy considers selling.

7. Miscellaneous Settings

Parameter	Default Value	Description
MS	Enabled	Enables momentum-based selling when pumps occur.
TRADING_DURATION	72 hours	Maximum duration a trade should last before looking for an exit.
PARTIAL_SELL_TYPE	Trail	Defines how partial sells are executed (options: "limit", "trail").
MAGIC_COOLDOWN	Enabled	Adjusts trading frequency dynamically based on market conditions.

8. Trading Logic

8.1 Entry Conditions

• Primary Trend Confirmation: Uses predefined market conditions to confirm trend strength.
• DCA Buy Conditions:
  • Entry distance must exceed DCA threshold.
  • Market signals must show a trend continuation signal.

8.2 Exit & Profit-Taking Conditions

• Primary Sell Triggers:
  • Profit Target Hit: If return on equity (ROE) exceeds GAIN.
  • Trailing Stop Activation: Dynamically adjusts stop price based on highest price achieved.

8.3 Dynamic Risk Management

• Adaptive Trade Sizing: Adjusts trade size based on capital allocation and risk exposure.
• Stop-Loss Adjustments: Modifies risk exposure based on market strength.
• Trailing Profit System: Locks in gains while allowing profitable trades to continue.

9. Execution Workflow

1️⃣ Initialize Strategy: Set up parameters, logging, and data fetching.

2️⃣ Fetch Market Data: Retrieve price, and order book information.

3️⃣ Analyze Market Conditions:

• Determine trend strength.
• Check DCA buy eligibility.
• Evaluate sell conditions.

4️⃣ Execute Trades:

• Place DCA buy orders if conditions are met.
• Sell or scalp positions if profit-taking conditions are met.

5️⃣ Risk Adjustment:

• Modify buying frequency based on Capital Usage.
• Adjust capital exposure and trade limits.

6️⃣ Log Execution & Iterate:

• Store trade history and update performance metrics.
• Adjust strategy behavior for improved efficiency.

10. Conclusion

MFRider is a highly adaptive, trend-following trading system that enables traders to automate execution, control risk, and maximize profits. With dynamic market analysis, strategic DCA, and intelligent profit-taking mechanisms, this strategy provides a smart and reliable approach to trading volatile markets.

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📌 Need Help?

For additional guidance, support, or advanced customization, feel free to reach out via our Telegram community or refer to the strategy's built-in logging system for performance insights.