Market maker testing framework

[martonp]

Loadbot can be expanded with new program types that simulate various market conditions. Then, various bot configurations could be tested to see how they fare in those conditions.

[JoeGruffins]

I will work on this.

Some possible new programs for the bots:

• sideways - This would oscillate randomly between a range.
• trending or increasing/decreasing price - I guess going up or down forever? Can go back the other way once it hits a point?
• volatile - All over the place?

Does this need to test arbitrage in some way? I guess it would be possible to set up mock exchanges although that may be involved.

Should the market maker clients also be automated?

[martonp]

Does this need to test arbitrage in some way? I guess it would be possible to set up mock exchanges although that may be involved.

Binance has a testnet where you can trade using their API with fake money:
https://www.binance.com/en/support/faq/how-to-test-my-functions-on-binance-testnet-ab78f9a1b8824cf0a106b4229c76496d

The arbitrage bot can connect to this testnet and trade on it. Perhaps this could take the price on Binance into consideration and have a setting where the market kind of stays close to the Binance price with a bit of variation.

Should the market maker clients also be automated?

I think it would be nice if you could specify a market making config file, then the market starts up and the market maker trades against it. Then we could review the logs of what the market maker did afterwards. It's not necessary though.. the market maker could be started separately as well.

[JoeGruffins]

So yes to also testing arbitrage? Using actual exchange rates does make sense. The testing framework is only for simnet though right?

[martonp]

Yes for arbitrage, and yes only simnet. I think it can be two separate PRs though.