Major Concepts

To benefit from Gigabots' powerful features, it is useful to understand the following trading concepts:

Signals

A signal is is an indicator that predicts future price direction. Signals are derived from data using AI, ML and statistical techniques. It is important to note that signals are probabilistic. No signal can predict the future perfectly. In Gigabots you decide which signals you are interested in.

Filters

Filters are criteria that determine which assets (tokens) the trader is willing to trade. Filters determine which signals you will be notified of. For example, a trader may decide to only trade tokens with a minimum liquidity of 2ETH. In this case, the trader will only be alerted when their chosen signals are triggered for tokens with minimum 2 ETH.

Strategies

In every day usage, traders often confuse signals for strategies. But a strategy is very different from a signal. A signal may tell you that price will probably move in a certain direction. But a strategy is how you use this information to actually trade and make money.

Strategies are constructed using signals and filters. A strategy may use signals to filter/screen tokens and also use signals as entry/exit conditions.

Example Strategy

Here is an example of a simple strategy:

Filter	Minimum Liquidity: 2ETH Maximum Market Cap: $100K Max Taxes: 5%
Entry	Unique Swap Count > 50 in 5 mins
Exit	Market cap >= $500K

Signal Discovery and Tuning

Gigabots has developed a powerful signal discovery infrastructure that ingests large quantities of data and analyzes this data using advanced ML, AI and statistical methods. The aim is to identify signals that are highly predictive of future price movement.

Since markets are dynamic, we also identify the best values for certain signals.

For example, a high-swap-count is usually indicative of price moving aggressively. When combined with high buy-to-sell ratio this is a bullish signal. But we also calibrate at which value this signal is most effective. In our research, we have found that high-swap-count and buy-sell-ratio are most effective at the following values:

• Swap Count of 50, 100 and 150 swaps in 5 minutes

• Buy-Sell Ratio of 1.5 to 3