Use ChatGPT to Create A Profitable Trading Bot In Just A Few Minutes!
Step-by-step of how to create a trading bot to make profit for you, with zero coding knowledge needed.
Imagine all the possibilities when you no longer need to know how to code and have a computer science degree in order to create something like a trading bot!
You can now ask ChatGPT to help you to create a trading strategy that will get you a little closer to making more money trading crypto, even while you sleep. It’s time to make money with AI!
In the previous article, I‘ve laid down the foundations of using ChatGPT to create a TradingView indicator. In this article, I’m going to show you exactly how to use ChatGPT to create a profitable TradingView bot to trade for us.
It took me only minutes to convert my trading bot idea into reality. A trading bot that, according to the backtesting, would return a staggering 24 938% by trading Bitcoin since 2018.
The stats of this trading bot are mind-blowing for such a simple strategy. But it works precisely because it’s simple: Occam’s razor principle! When it comes to investing, simple strategies usually work way better than very complex ones.
Creating your very own trading strategies with ChatGPT is simple if you follow these steps. Once you have done it, let me know what strategy you have created in the comments section!
📌Pre-requisites:
You need to have a ChatGPT account and a TradingView account. I have explained the basics in this other article:
You will also need to have a basic idea of what you want to do. If you just ask ChatGPT “Build a Pine 5 strategy that will give me at least 100% return on investment”, it will probably put some very common indicators on the strategy and it will not perform well.
Remember: ChatGPT is an LLM — Large Language Model. It’s an AI that understands language but it’s not very good with charts and trading strategies. You have to have an idea of what your strategy should look like!
BTW, this can also really help with your investments: 📈 The TOP 50 Quotes for Successful Crypto Investors — FREE to download 📈
📌How to create your first trading bot with ChatGPT
ChatGPT will code any trading bot idea that you have. Now the difference is that instead of having to have coding knowledge, you can just type your bot idea and ChatGPT will code it for you.
For this tutorial, I’m asking ChatGPT to create the following strategy for TradingView:
Create a Pine 5 trading strategy where we open a long position for every 10 candles where the moving average 50 is below the moving average 300. Pyramiding 100. Then we close all orders once the MA 50 crossunder the MA300. Please make the moving averages colorful. Each buy order should have a dog emoji and each sell order should have a cat and a confetti emoji. The position size is 1000. The strategy starts in Jan. 2018.
- You need to ask ChatGPT to create a “Pine 5 strategy,” as Pine 5 is the coding language of TradingView.
- Pyramiding 100 means that the strategy can have up to 100 open orders.
- Add your strategy to the prompt. You can ask to add technical indicators, stop losses, when to take profit, and when to buy or sell, etc.
Let’s see ChatGPT doing its magic:
Congratulations! You have created a tailor made trading bot in seconds.
Now, let’s copy the code snippet from ChatGPT to TradingView and test it!
📌Backtesting your ChatGPT Trading Bot on TradingView
Now we need to test the strategy to make sure it works.
To add the script to TradingView and test our bot, follow the steps according to the image:
- Select an asset. In this case, I’ve selected Bitcoin with 1-day candles;
- Click Pine Editor and paste the script from ChatGPT here;
- Click add to chart;
- If it was added to the chart, congratulations!
- If it throws an error, ask ChatGPT to solve the error and copy/paste the code again.
By the way, as you can see on the chart, we have a “🐶” emoji every time the trading bot places a buy order and a “😺🎉” emoji every time the bot sells.
How did our ChatGPT trading bot strategy perform?
📌The ChatGPT strategy backtesting results were mind-blowing, but can we rely on them?
To check the results of your brand new AI trading strategy, click the “Strategy Tester” tab and “Overview.” Here you can see how our trading bot performed.
Apparently, our trading bot performed amazingly! Almost 25 000% performance trading Bitcoin since 2018, with 81% profitable trades and the average profit per trade was 76%.
This is absolutely amazing, BUT past performances do not guarantee future results! However, if you want to take a look at this specific strategy and test it yourself on TradingView, check this link.
What strategy did you create? And what was the result from the Strategy Tester? I’d love it if you share the results with me and get some inspiration from each other!
📌Putting it all into practice
If you are confident that your new automated AI trading strategy can make you money, the second step would be to open the “Trading Panel” and start testing the strategy with “Paper Trading.” This is an account with some virtual money just to play around.
After testing it with virtual money and having the confidence needed to do it with real cash, you could eventually connect your broker from the list available. There are hundreds of brokers for stocks and also for crypto that integrates with TradingView, such as Binance, OKX, and many more.
Did it work for you? What kind of strategy do you think I should create next with ChatGPT?
Just a word of caution before finishing this article: there are way too many articles and videos on the internet saying that you can make a ton of money with these AI-generated trading bots. That’s not true:
- LLMs like ChatGPT understand the language well but it doesn’t understand well the charts, mathematics and market dynamics.
- Backtests results might be influenced by previous market conditions but the same conditions might not repeat again.
- Most importantly, test, test, test and use a “Paper account” before trying anything with real money!
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