We want to use a Genetic Algorithm to determine the best parameters for Trading Indicators such as MACD and RSI to use as well as combination for a Trading Algorithm to Buy and Sell.
We already have an Algorithm calculator that accepts a buy and sell signal and will track the orders and give a Profit n Loss percentage after running through the data.
This percentage can be used as the fitness score for a Genetic Algorithm.
We will be using the Bitcoin 1h, 4h and 24h OHLCV data as inputs for the indicators.
So we need to have the Algorithm solve the following.
indicator 1 : Last Price greater or less than (X) Moving Average (1,-1)
indicator 2 : trend indicator with parameters specific to indicator. (1,0,-1)
indicator 3 : trend indicator with parameters specific to indicator. (1,0,-1)
indicator 4 : volume indicator with parameters specific to indicator. (1,0,-1)
These four indicators would all need a 1 for the algorithm to trigger a Buy Entry Order or all four have a -1 to trigger a Sell Order.
To determine the 1,0-1 for an indicator would be specifc to that indicator rule/s. such as for RSI to trigger a 1 when it reaches 20 and a -1 when it reaches 80.
We will want to test 21 Indicators we will provide and so a structure to accept each indicator will be to give the 1,0-1.
Everything needs to be in Node.js.
Many thanks for your time and look forward to your application.