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Learn how to interact with the DYDX Layer 2 Ethereum trading exchange using Python by running a trading bot on AWS Elastic Cloud Compute (EC2). Your bot will be highly advanced in trading in being able to take advantage of statistical arbitrage opportunities in Pairs Trading. This is a great strategy to know given how closely linked many cryptocurrencies are in price behaviour.
Your bot will be able to message you via Telegram so that you can receive live notifications on how well the script is performing (or not performing). It will enable you to:
– Automatically close all existing open positions
– Find cointegrated (linked Crypto pairs) for trading and ascertain whether statistically it makes sense to open a trade
– Manage any open positions and look for exits
– Find and place new trading opportunities
– Alert you if something goes wrong
– Run your bot without your laptop whilst you sleep
Our Python code will interact heavily with the DYDX API and to ensure you understand how to use the API, a cheatsheet has been provided to fast-track you onto being able to use DYDX.
To do this course, you should have used Python in the past, having created and installed packages in a virtual environment and be familiar with basic programming concepts.
That said, you do NOT need to be an advanced Python programmer or advanced trader to do this course. Our strategy uses statistical arbitrage for Pairs Trading, of which you will be walked through the strategy and theory in the beginning in reasonable detail so you understand the nature of what is going on.
See you in Class!
About Your Instructor: Shaun McDonogh has been developing tools for traders for over 5 years at Crypto Wizards and is very close to where the action is in regards to trading Crypto. Shaun’s passion is developing applications and teaching others and is delighted to bring this information to the retail market.
Strategy
DYDX V4 (2024) Code Setup
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8Statistical Arbitrage and Cointegration
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9Trading the Spread Based on Z-Score
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10About the Hedge Ratio
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11About Half-Life
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12YT Homework: Kelly Criterion
Homework: Please watch video on the "Kelly Criterion Crypto Wizards" via YouTube. This video is not available for uploading to Udemy.
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13Position Sizing and Risk Management
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14Test Your Knowledge
APPENDIX - DYDX FastTrack - OLD (REFERENCE ONLY)
Environment Setup - OLD (REFERENCE ONLY)
Bot Build - Stage 1
Bot Build - Stage 2
Bot Build - Stage 3
Telegram Messaging Inclusion
AWS Cloud Deployment
How long do I have access to the course materials?
You can view and review the lecture materials indefinitely, like an on-demand channel.
Can I take my courses with me wherever I go?
Definitely! If you have an internet connection, courses on Udemy are available on any device at any time. If you don't have an internet connection, some instructors also let their students download course lectures. That's up to the instructor though, so make sure you get on their good side!
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