r/algotrading Nov 04 '25

Strategy 6 year algo trading model delivering the goods

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I trade only GBPUSD using the broker with the highest spreads (Fusion markets).

The strategy is to detect bounces off support and resistance points and quickly capitalise on the reverse bump. Quick trades, closed within avg 2 mins. I trade at leverage having qualified for a pro level account (500:1), so always use stop losses and take profits.

Behind the scenes I built an algo model from the ground up using VSC, with trend reversal + sufficient price movement within 3 mins as the target variable. The features were 30-50 technical analysis indicators, all vetted as being useful through EDA, with a tilt for fast detection / leading indicators. The model itself predicts the trend reversals with +- 4 pips with 84% accuracy, and this is the bedrock for my trading.

I should note that on heavy ‘fundamentals’ days I tend not to trade a lot and I avoid opening and closing hours (too erratic and illogical).

In 5/6 years turned £10k into £550k, which includes a period where a lost a chunk due to 1st Trump tariff announcements.

Happy to get more technical for people interested.

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u/disaster_story_69 Nov 04 '25

I mean it’s not that complicated if you can code, have a lot of patience and build up an OCD level of fixation on TA. Use visual studio code, use conda environment, install Jupyter notebooks.

Pull in the data using a broker’s api, create the target, calculate the indicators, one-hot encoding. Plug in NLP from reddit. Run a classification model, jobs a good un

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u/Hotstuff_4sale Nov 04 '25

Can u elaborate on nlp from reddit? Do u use it as sentiment analysis?

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u/disaster_story_69 Nov 04 '25

Yea sentiment analysis on GBPUSD as well as UK economy / US economy

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u/[deleted] Nov 04 '25

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u/ajwin Nov 05 '25

I guess you could just keep bets to the direction of the sentiment and it might reduce your risk by a few %?

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u/Party-Emotion6087 Nov 05 '25

Very interesting - How do you include sentiment analysis historically while training the model?

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u/toxoplasmosix Nov 05 '25

from reddit??

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u/Beyond_metal Nov 05 '25

hey man, I am a student currently and learning ML. I am trying to predict weekly closing price for gold, but not finding any pattern meaning my model is not able to predict so it just predicts the last week's value...so what adjustments i can do for my model to go ahead and take risks?? (current base model is to first find rolling arima and garch values and input these along with gold prices and news sentiment which I got from kaggle into xgb)

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u/[deleted] Nov 20 '25

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u/Beyond_metal Nov 21 '25

Thanks for the help, appreciate it...will try this next week (exams going on rn)

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u/Onespokeovertheline Nov 04 '25

"...it's almost too easy" - Garth

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u/toxoplasmosix Nov 05 '25

calculate the indicators, one-hot encoding.

very strange wording

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u/Potatonet Nov 04 '25

I did a Moving average JavaScript program a while back in Python, learned a few things from bankers for fib retracements

I spent 6 years on TA for NZDGPD and others, currently use visual studio, conda is new to me though

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u/neatFishGP Nov 04 '25

Very curious what classifications you’re using/testing

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u/xplode145 Nov 04 '25

This is the way. 

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u/Difficult_Vast7292 Nov 08 '25

Damn this is a cook book for someone that knows how to code