Spot Grid Trading with Profit Targets and Position Stops

Summary

This spot grid strategy places paired buy and sell orders around the market, then rebuilds the grid after a fill using the filled order price and current bid and ask. Grid spacing and order size are configurable. A position calculator tracks net exposure and average entry price, while active order lists support cancellation and replacement as the grid changes. The code also includes a profit-taking rule: once one-sided exposure reaches a configured count of grid units, it submits an order intended to close that exposure at a target offset from the average price.

A separate stop mechanism checks exposure periodically. At the configured maximum position, it compares the market with either the last fill or average price and submits a closing order after a specified adverse move. When a stop fully closes the position, the strategy pauses grid placement for a configured interval. These are implementation rules, not evidence of profitability: the document provides no backtest or live results. Grid accumulation can build substantial directional exposure, and realized performance depends on fills, fees, liquidity, and market conditions.

Key ideas

• The strategy maintains buy and sell grid orders around the market and resets them after fills.
• A position calculator tracks net exposure and average price as orders update.
• When one-sided exposure crosses a configured threshold, the strategy submits a profit-taking order.
• At maximum exposure, a periodic check can submit a stop order after an adverse price move.
• After a stop closes the position, grid trading is paused for a configured period.
• The document provides implementation logic but no performance testing or results.

Tags

From a private course collection; the original is not published.