The Heracles strategy is a trading strategy designed for backtesting on a trading platform. It uses technical indicators to determine buy and sell signals for trading. Here is a brief description of the strategy:
The strategy calculates two indicators: "volatility_kcw" and "volatility_dcp" using the provided price data.
These indicators are based on Keltner channels and Donchian channels, respectively.
In the buy signal generation process, the strategy applies specific conditions based on the calculated indicators.
It checks if a certain mathematical expression involving the indicators falls within a defined range. If the conditions are met, a buy signal is generated. The sell signal generation process in this strategy does not have any specific conditions defined. Therefore, it relies on external factors or other strategies to determine when to sell. The strategy also provides hyperparameters that can be optimized through hyperparameter optimization. These hyperparameters include "buy_div_min," "buy_div_max," "buy_indicator_shift," and "buy_crossed_indicator_shift."
The strategy has a predefined minimal ROI (return on investment) table, which specifies the expected returns at different time intervals. It also includes a stop-loss value that determines the maximum acceptable loss before selling. The recommended timeframe for using this strategy is 4 hours. Please note that the strategy requires the installation of the TA (Technical Analysis) library before running.