Explained simply — for everyone who knows nothing about trading
Before I explain how the bot works, you need to know what all these terms mean. Click on any term to see its explanation.
Trading is buying and selling things (cryptocurrencies, stocks, gold) with the goal of making a profit. Buy cheap, sell higher — the difference is your profit.
A trader is someone who buys and sells assets (things that are traded) with the goal of making a profit. In our case, the trader is an AI program — it works automatically 24/7.
A bot is a program that works on its own, without anyone sitting in front of the screen. Our AI trading bot analyzes the market every hour and decides to buy, sell, or wait.
An asset is anything that has value and can be traded. Our bot trades three types of assets:
Cryptocurrencies (crypto) — digital money on the internet: Bitcoin (BTC), Ethereum (ETH), Solana (SOL) and hundreds more. Traded on the Binance exchange. You choose which ones to track.
Stocks — shares in companies: Apple, Microsoft, Tesla and thousands more. Traded on American and European exchanges via IBKR.
Commodities — physical things: gold (XAUUSD), silver (XAGUSD), oil (IBUSOIL). Traded on international exchanges.
BULLISH = Optimistic. We expect prices to RISE. The name comes from a bull tossing things UP with its horns.
BEARISH = Pessimistic. We expect prices to FALL. The name comes from a bear swiping DOWN with its paw.
NEUTRAL = Neither up nor down. The market is undecided, no clear direction.
Open position = We bought something and haven't sold it yet. Money is "in play".
Closed position = We sold it. Now we know if we made or lost money.
Volume shows how much of an asset was bought and sold in a given period. Higher volume means more people are trading — the signal is more reliable.
Sentiment is the "mood" of the market. If most people think prices will rise, sentiment is positive (bullish). If they think prices will fall, sentiment is negative (bearish).
The bot measures sentiment by reading news and looking for positive/negative words like "rally", "crash", "hack", "growth".
RSI (Relative Strength Index) measures how much an asset's price has risen or fallen recently. Value ranges from 0 to 100.
Our data shows: when RSI is between 60-70, purchases succeed in 81% of cases. But when RSI is above 70 (already overpriced), purchases lose money in 80% of cases!
Bollinger Bands are three lines that form a "tunnel" around the price. The middle line is the average, while the upper and lower show how much the price normally moves.
When the price touches the upper line, it might be overpriced. When it touches the lower line, it might be underpriced. When it breaks out of the tunnel, something unusual is happening!
EMA (Exponential Moving Average) is a "smoothed" price average. We use three periods:
EMA 20 — short average (last 20 hours). Reacts quickly to changes.
EMA 50 — medium average (last 50 hours). Slower, more stable.
EMA 200 — long average (last 200 hours). Shows the overall trend.
When the short average (EMA 20) crosses ABOVE the long one (EMA 50) — that's a good sign, the trend is upward!
When the short average falls BELOW the long one — bad sign, the trend is turning downward.
ATR (Average True Range) measures how much the price "jumps" up and down on average in a given period. Higher ATR = more volatility.
Volume ratio compares current volume with the average. If the ratio is 1.5, trading is 50% higher than usual.
High volume + price rise = strong growth, many people buying. Good signal!
High volume + price drop = panic selling. Bad signal.
Low volume + rise = growth without support, may be a false signal.
SL ranges for different assets:
Crypto: 1.5 - 3% (prices are more volatile)
Stocks: 1 - 2% (more stable)
Gold/Oil: 1.5 - 2.5%
TP ranges:
Crypto: 3 - 8%
Dionice: 2 - 5%
Zlato/nafta: 2 - 5%
PnL (Profit and Loss) = earnings or losses.
Gross PnL — difference between buy and sell price, WITHOUT costs.
Net PnL — what you ACTUALLY earn, AFTER all costs (fees) are deducted.
Fee is the commission the exchange (Binance) charges for every buy or sell. On Binance it's about 0.1% per transaction.
Every trade has TWO fees: one for buying, one for selling. Total of about 0.2% for the full "round trip" (buy + sell).
A single number from 0 to 100 that measures the mood of the entire crypto market.
Interesting: when everyone is scared, it's OFTEN a good time to buy (because prices have already dropped). And when everyone is greedy and euphoric — the price may already be too high.
On crypto exchanges there are "betting markets" (futures) where people bet whether the price will rise or fall. Funding rate shows which side is paying the other.
High funding rate (above 0.05%) — too many people betting on a rise. Dangerous! A "squeeze" (sudden drop) may happen.
Negative funding rate — too many people betting on a drop. A recovery may follow.
Open Interest (OI) shows how much total money is invested in futures (betting markets). Higher OI = stronger potential price move.
Market Cap = price of one coin times total number of coins. It's the total value of that cryptocurrency.
Bitcoin market cap is about 1.5 trillion dollars. Total crypto market cap is about 3 trillion.
Shows what percentage of the total crypto market belongs to Bitcoin.
Dominance rising — people are fleeing to Bitcoin as a "safe haven". Altcoins (ETH, SOL...) usually drop.
Dominance falling — money flows into altcoins. This is called "alt season".
TVL shows how much total money is "locked" in DeFi projects (decentralized finance — projects that replace banks).
TVL rising — people are investing in DeFi, they trust crypto.
TVL falling — people are pulling money out, losing confidence.
For each decision, the AI gives a confidence score from 0.0 to 1.0 (0% to 100%).
Below 0.6 (60%) — AI is not confident enough. Does NOT trade.
0.6 - 0.8 — moderate confidence. Trades, but with a smaller position.
Above 0.8 (80%) — high confidence. Trades with a larger position.
P/E Ratio (Price to Earnings) = share price divided by the company's earnings per share.
If a share costs 100 EUR and the company earns 5 EUR per share annually, P/E is 20. That means it takes 20 years of earnings to "pay off" the share price.
High P/E (e.g. 50+) — the stock is "expensive" relative to company earnings.
Low P/E (e.g. 10-15) — the stock is "cheap" relative to earnings.
Earnings are quarterly reports — how much the company earned in the last 3 months. If earnings beat expectations, the price usually rises.
The Federal Reserve (Fed) is the most important bank in the world. Their interest rate affects EVERYTHING — from cryptocurrencies to stocks.
Higher rate — money is "more expensive" to borrow. People invest less, prices fall.
Lower rate — money is "cheap". People invest more, prices rise.
CPI (Consumer Price Index) measures inflation — how fast everyday prices are rising (food, fuel, rent).
High CPI — inflation is high. The Fed will likely raise rates. Bad for markets.
Low CPI — inflation is under control. The Fed may cut rates. Good for markets.
DXY (Dollar Index) measures how strong the US dollar is compared to other currencies.
Strong dollar (DXY rising) — bad for crypto and gold, as they are priced in dollars and appear "more expensive".
Weak dollar (DXY falling) — good for crypto and gold, as dollars are "worth less" so people flee to alternative investments.
Yield Curve compares short-term and long-term interest rates on US bonds.
Normal — long-term rates are higher than short-term. Everything is OK.
Inverted — short-term rates are HIGHER. This is often a sign that a recession is coming!
AI doesn't guess blindly — it analyzes data from 10 different sources before each decision. Here's where it draws information from:
What it fetches: RSI, Bollinger Bands, EMA (20/50/200), ATR, volume ratio — for the last 24-200 hours.
How AI uses it: This is the MOST IMPORTANT source for buy/sell timing. RSI says if it's overpriced, BB says if it's outside normal, EMA shows trend direction.
All assetsWhat it fetches: Latest news from Finnhub for each asset. Looks for keywords like "crash", "rally", "hack", "bullish".
How AI uses it: Negative news (hack, SEC lawsuit) can signal a drop. Positive news (partnership, ETF approval) can signal a rise.
Svi assetiWhat it fetches: Fed interest rate, CPI (inflation), DXY (dollar strength), yield curve, unemployment — from the FRED API.
How AI uses it: Macro data provides the "big picture". If the Fed raises rates, it pushes ALL markets down.
Svi assetiWhat it fetches: A single number (0-100) measuring the crypto market mood. 0 = extreme fear, 100 = extreme greed.
How AI uses it: Used as a contrarian signal — extreme fear can be a buying opportunity.
Crypto onlyWhat it fetches: Funding rate, Open Interest and mark price from the Binance futures market.
How AI uses it: Detects "crowded trades" — when too many people bet on the same side, a squeeze (sudden reversal) is more likely.
Samo cryptoWhat it fetches: BTC dominance, total market cap and volume from CoinGecko.
How AI uses it: Rising BTC dominance = flight to safety (into Bitcoin). Falling = alt season (altcoins rising).
Samo cryptoWhat it fetches: Total Value Locked (TVL) trend from DeFi Llama — how much money is "locked" in DeFi protocols.
How AI uses it: Rising TVL = capital flowing into the crypto ecosystem. Falling = capital flowing out.
Samo cryptoWhat it fetches: Bitcoin mempool fee (network congestion), hash rate (miner power), difficulty.
How AI uses it: High mempool fee = lots of network activity. Rising hash rate = miners believe in Bitcoin.
Samo cryptoWhat it fetches: P/E ratio, earnings, revenue from the yfinance API.
How AI uses it: Checks if a stock is "expensive" or "cheap" relative to how much the company actually earns.
Stocks onlyWhat it fetches: Combines ALL the above sources into one final score: positive, negative, or neutral.
How AI uses it: Provides a final "weighted" score — all data combined into one sentiment score per asset.
Svi assetiAll 10 sources feed into the AI "brain", which passes through a Risk Check, and finally makes one of 3 decisions.
Every hour (for crypto) the bot goes through these 7 steps. The entire process takes a few seconds.
The bot fetches the latest data from all 10 sources: prices, indicators, news, macro data, sentiment...
All data is formatted and sent to Claude AI (or Gemini) in one large message. The AI gets a complete picture of the market.
AI evaluates EVERYTHING together — technical indicators, news, macro, sentiment, open positions — and makes its own decision.
AI returns a structured decision: BUY, SELL or WAIT, along with confidence, reason and position size.
The protection system checks 10 safety limits: RSI block, daily loss, kill switch, trend filter... Even if AI says "BUY", the risk check can block the trade.
If everything is OK, the bot executes the order on Binance (crypto) or Interactive Brokers (stocks, gold). The trade happens in milliseconds.
Everything is saved to the database (every decision, every trade, every reason). Telegram sends a notification to your phone. The dashboard updates.
AI thinks the price will rise. Buys the asset for an amount that depends on market conditions (invests more when the outlook is better).
AI thinks it's time to exit. Always sells 100% of the position — our data shows this is better than partial selling.
AI doesn't have enough evidence. It's better to wait for a clearer situation than to risk on unclear signals.
AI doesn't always invest the same amount. On a bad day it invests less (to lose less), on a good day it invests more (to earn more).
| Class | Min investment | Standard | Max investment |
|---|---|---|---|
| Crypto | 5% (100 EUR) | 18% (360 EUR) | 27% (540 EUR) |
| Stocks | 4% (200 EUR) | 15% (750 EUR) | 22.5% (1125 EUR) |
| Gold/Oil | 3% (90 EUR) | 10% (300 EUR) | 15% (450 EUR) |
Example for crypto (capital 2000 EUR): on a BEARISH day, AI may invest only 100 EUR (5%). On a BULLISH day with strong signals, it can invest up to 540 EUR (27%).
These are HARD rules in the code — AI CANNOT bypass them:
| Mood | Max size | What it means |
|---|---|---|
| BEARISH | Max 0.20 (20%) | Bad day — AI can invest max 100-190 EUR in crypto |
| NEUTRAL | Max 0.50 (50%) | Undecided — moderate size, max 260-320 EUR |
| BULLISH | No limit | Good day — AI can use up to 100% of the range (540 EUR) |
The bot has 7 layers of protection that prevent large losses. These layers work automatically — AI cannot disable them.
If the bot loses more than 5% of total capital in one day, it STOPS ALL operations. Automatically resets the next day. Checked every 5 minutes.
Each asset class has a separate daily limit: crypto 2%, stocks 2%, gold/oil 3%. When the limit is reached, the bot stops trading that class for the day.
If RSI is above 72 (the price has already risen significantly), the bot does NOT buy. Our data shows it would lose in 80% of cases. Exception: only if AI confidence is above 85%.
If the price has been falling for 4+ hours (drop greater than 1.5%) or there are 3+ consecutive red candles, the bot does not buy. It waits for the drop to stop.
On a BEARISH day the bot can invest max 20% of the range. On NEUTRAL max 50%. This is hardcoded — AI cannot bypass it. Prevents large bets on bad days.
BTC and ETH are "cousins" — they fall and rise together. The bot doesn't buy too many correlated assets at once. Max 3 positions in the same correlation group.
Maximum 15 open positions simultaneously and 50 trades per day. Plus, AI must have at least 60% confidence to trade at all.
Every trade has costs. Understanding fees is crucial because they affect how much you actually earn.
Binance charges a 0.1% commission per transaction. Every trade has TWO transactions: buy and sell. Total round-trip cost: ~0.2%.
The bot automatically holds some BNB tokens because Binance gives a 25% discount on fees if you pay in BNB. Instead of 0.1%, you pay only 0.075%!
The bot buys BNB when it runs low (if balance drops below 5 EUR, it automatically buys 10 EUR BNB). When selling BNBEUR, it keeps a small BNB reserve for fees.
All PnL displays in the dashboard are NET — already reduced by fees. So what you see is what you ACTUALLY earn.
Situation: You buy Bitcoin for 1000 EUR. Price rises to 1003 EUR (+0.3%). Gross profit = 3 EUR.
But: Buy fee = 1 EUR, sell fee = 1 EUR. Net profit = only 1 EUR.
Problem: Such a small profit isn't worth selling for. That's why AI waits for a bigger profit before selling.
Explanation of the main dashboard sections — what they display and how to read the data.
The chart shows your earnings over time in two layers:
Each bar shows how much you earned (or lost) that day. Green = profit, red = loss. Bar height = amount in EUR.
The line shows total earnings since the start. Rises when you have profitable days, falls when you lose. Goal: line goes up!
The table shows all assets the bot currently holds — active positions that haven't been sold yet.
ASSET — name and class. ENTRY — purchase price. STAKE — how many EUR invested. NOW — current price. PNL — net profit in % (green = in profit, red = in loss). SL/TP — Stop Loss and Take Profit levels. DURATION — how long the position has been open.
Clicking a position opens a panel with a mini chart (24h), detailed PnL, distance to SL/TP, and a manual sell button.
The table shows the history of all executed trades — buys and sells.
ASSET — name. TYPE — ENTRY (buy) or EXIT (sell). PRICE — execution price. STAKE / PNL — for ENTRY shows invested EUR (blue), for EXIT shows net PnL (green/red). DATE — when it was executed.
The 👤 icon marks manual trades (from the dashboard). Trades without the icon are automatic from the AI bot. In reports you can see statistics: how much you intervened vs. how much the bot handled on its own.
The dashboard is not just for viewing anymore! You can buy or sell yourself, get AI recommendations on demand, override the risk manager, review reports — and push notifications keep you informed about everything.
All "dangerous" actions (selling, starting/stopping the bot) require an action password. This prevents someone from accidentally clicking "Sell" or an unauthorized person controlling the bot.
Click on any open position to see details. In the expanded panel you'll see:
Entry price, current price, net PnL (in EUR and %), position duration, distance to Stop Loss and Take Profit levels.
A small chart showing price movement over the last 24 hours. Helps you see the trend before deciding to sell.
Click, enter the action password, and the position will be sold on Binance. You'll see exactly what the net PnL is (after fees). Notification comes via both push and Telegram.
The "Reports" section on the dashboard gives you a detailed performance overview for the selected period:
Select start and end dates, click "Generate" — and you get the complete picture. Useful for weekly/monthly reviews.
Want to buy an asset yourself? In the "Manual Purchase" section, select an asset and click "Analyze". The bot fetches all data (technical, sentiment, news, macro) and asks AI for a recommendation.
You see RSI, Bollinger Bands, EMA, sentiment, news, volume — everything AI uses for its decision. Free capital and estimated purchase amount.
AI gives BUY/SELL/WAIT with confidence, reason and key factors. The buy button changes color: green (BUY), gray (WAIT), red (SELL).
Even when AI says WAIT, you can buy — the button is always available. If you already have a position, the purchase is added to the existing one (average entry price).
Sometimes AI says "BUY", but risk management blocks the trade (RSI too high, trend filter, daily limit...). You can see these blocked trades on the dashboard and override them!
You get a push notification and Telegram message when a trade is blocked — so you can react even outside the dashboard.
Enable push notifications on the dashboard and get notified about EVERYTHING important:
ZTrader has 14 advanced features that help AI make better decisions. Some can be toggled on/off in settings, while others are always active. On the dashboard you can see the status of each feature (green/yellow/gray).
You can toggle these features on or off in Settings → Advanced Features. Changes take effect immediately.
These features work automatically and cannot be disabled. They improve AI context at no additional cost.
These features act autonomously — no extra AI calls, no added cost. They protect capital and lock in profit using rule-based logic.
GEMINI_API_KEY environment variable (free at aistudio.google.com). Without it, the feature is silently disabled — all other exit paths still work.A mechanism for completely stopping trading during extremely negative market conditions. Uses rule-based analysis (no AI calls — completely free).
Hard stop is a "pause" for trading. When active, the bot doesn't buy anything until the set date. Existing positions remain open, and the Stop Loss / Take Profit safety net still works — only new purchases are stopped. The bot continues running AI analysis during hard stop to monitor for trend reversals, but silently blocks all buy attempts.
Choose a date until which you want to pause trading and enter a reason. The bot won't buy until that date. When the date passes, the hard stop is automatically removed.
When enabled, the bot decides on its own when to pause. Requires 4 consecutive downtrend detections (~1 hour of sustained downtrend, strength >= 0.5) before activating a 7-day hard stop — prevents false positives from short dips. When the trend recovers (strong bullish breadth: 60%+ assets in uptrend with positive momentum), it automatically removes the hard stop. During hard stop the bot keeps analyzing markets so it can detect reversals faster, but all buys remain blocked until the stop is lifted. Fully automatic, no intervention needed.
The trend monitor uses 4 signals with equal weight to determine market direction:
Average RSI of all crypto assets. Below 30 = bearish signal, above 70 = bullish signal. Measures whether the market is oversaturated.
Fear and Greed Index (0-100). Below 20 = extreme fear (bearish signal), above 75 = extreme greed (bullish). Contrarian indicator — extreme fear can mean the bottom.
Percentage of assets with bullish vs bearish EMA alignment (price > EMA20 > EMA50). If most are falling, the signal is bearish.
Average price change of all crypto assets in the last 4 hours. A large drop means short-term bearish momentum.
The result is a score from -1.0 to +1.0:
UPWARD (green), NEUTRAL (gray) or DOWNWARD (red). Shows the current market direction.
How strong the trend is (0.0 to 1.0). Strength >= 0.5 is considered a strong trend for auto hard stop.
ACTIVATE — suggests pausing trading. REMOVE — trend has improved. NO CHANGE — leave as is.
Current index value (0-100). Red <30, green >70, white neutral. Value 0 = extreme fear.
A mechanism that wakes AI when a position reaches profit, but only under the right conditions. Goal: lock in earnings when the market is not in an upward trend.
The Price Watcher checks prices every 2 minutes. When the net PnL of an open position reaches +0.4% (above fees), it wakes AI to decide — sell or wait.
When the market is upward (BULLISH), the profit trigger is completely skipped. Positions "ride" for maximum profit. No reason to sell in a bull market while the trend is good.
When the market isn't bullish, a profit of 0.4%+ is a signal for an AI check. AI gets full context (indicators, sentiment, news) and decides SELL or WAIT. It's not an automatic sell — AI has freedom.
After each trigger, 30 minutes cooldown per position. Maximum 6 triggers per day per position. Prevents AI spam on positions oscillating around the threshold.
A feature that blocks selling positions that are in the red. Useful when you want to prevent realizing a loss and give the position time to recover.
When enabled, no position with negative net PnL can be sold — not by AI, not manually. Enabling the global switch automatically enables all per-asset switches.
You can restrict selling for individual assets. Example: block ETH selling (waiting for recovery) but allow BTC selling. Shown in the open positions table.
The most important question: does Stop Loss still work when the restriction is enabled? By default YES — SL always protects against catastrophic loss. Disabling SL requires confirmation because it's dangerous (position can drop indefinitely).
This content is provided for informational and educational purposes only and does not constitute financial, investment, or legal advice. Nothing contained herein should be interpreted as a recommendation or endorsement to buy, sell, or hold any cryptocurrency or related asset.
Cryptocurrency investments carry a high level of risk and are highly volatile. Prices can fluctuate significantly in a short period of time, and you may lose all or a substantial portion of your investment. Past performance is not indicative of future results.
Before making any investment decisions, you should conduct your own thorough research and consider consulting with a qualified financial advisor or professional who understands your individual financial situation and risk tolerance.
By engaging with this content, you acknowledge and accept all risks associated with cryptocurrency investments and agree that you are solely responsible for your own investment decisions.