What Are Risk Modifiers?
Risk modifiers are optional technical indicators that can adjust the bot's trading behavior based on market conditions. They don't generate trade signals — they modify how trades are executed.
For example, if RSI indicates overbought conditions, the bot might reduce buy sizes or increase cooldown periods.
RSI (Relative Strength Index)
What It Measures
RSI measures the speed and magnitude of recent price changes to evaluate overbought or oversold conditions. It ranges from 0 to 100.
RSI > 70 (Overbought)
Reduces buy order sizes, increases sell order sizes.
RSI < 30 (Oversold)
Increases buy order sizes, reduces sell order sizes.
Rationale: When an asset is overbought, there's higher risk of a pullback — so the bot is more cautious about buying. When oversold, there's potential for a bounce.
MACD (Moving Average Convergence Divergence)
What It Measures
MACD tracks the relationship between two moving averages. When they diverge strongly, it can signal increased volatility or trend strength.
How It Affects Trading:
- •Strong MACD divergence: Increases cooldown periods to avoid trading during potential trend reversals.
- •MACD histogram crossing zero: May temporarily reduce position sizes during transition periods.
How They Work Together
| Scenario | RSI | MACD | Bot Behavior |
|---|---|---|---|
| Normal conditions | 30-70 | Neutral | Standard trade sizes and cooldowns |
| Overbought | >70 | Any | Smaller buys (50%), normal sells |
| Oversold | <30 | Any | Larger buys (120%), smaller sells |
| High volatility | Any | Diverging | Longer cooldowns (1.5x) |
Enabling Risk Modifiers
Risk modifiers are optional and can be enabled in your vault's settings. By default, they are disabled — the bot trades at consistent sizes regardless of indicator values.
To enable:
- Go to your vault's Settings page
- Find the "Risk Modifiers" section
- Toggle on RSI and/or MACD modifiers
- Adjust thresholds if desired (or use defaults)
Not Financial Advice
Technical indicators are not predictive. RSI can stay overbought for extended periods during strong uptrends. MACD can give false signals. These modifiers help manage risk but do not guarantee better returns.
When to Use Risk Modifiers
Consider enabling if:
- • Trading volatile assets
- • You want more conservative behavior in extreme conditions
- • You're comfortable with variable trade sizes
Keep disabled if:
- • You want consistent, predictable behavior
- • Trading stable pairs
- • You prefer simple grid mechanics