Strategy file: meanRevOscillator.js Market: spot
Description
Ornstein-Uhlenbeck (1930) mean-reversion oscillator with Bertram (2010) optimal entry/exit thresholds. Spot.
How it works
The Ornstein-Uhlenbeck process dx_t = θ(μ - x_t)dt + σ dW_t is the canonical continuous-time mean-reverting model. Its z-score z = (x - μ)/σ_long is unitless and stationary under the OU hypothesis, making it an apples-to-apples entry signal across pairs of different volatility regimes. The strategy DCAs into a long position when z drops below a negative threshold (oversold) and scales out as z reverts toward zero. Time-stop logic prevents indefinite holding of pairs whose mean has structurally shifted (i.e. the OU hypothesis broke). Best on liquid pairs with no strong structural drift over a multi-day window.
Capital & Period
Order sizing and candle timeframe.
| Key | Type | Default | Description |
|---|---|---|---|
PERIOD |
select | 5 |
Candle timeframe Gunbot feeds the strategy. 1-3 min suits very liquid spot or perp; 5 min is the balanced default; 15 min reduces noise on thinner pairs at the cost of slower adaptation. |
TRADING_LIMIT |
range (range 10..5000) | 900 |
Order size in QUOTE currency (e.g. USDT) per buy attempt. Sets per-quote notional; raise to commit more per fill, lower to keep risk smaller per trade. OU strategy: this sizes the first DCA tranche; subsequent tranches scale by DCA_DECAY. |
MR_TL |
range (range 10..5000) | 900 |
Strategy-specific TL override. When set, takes precedence over TRADING_LIMIT for THIS strategy only — lets you run different sizes per pair from the GUI without touching the global TL. |
MR_CAPITAL_ALLOC |
range (range 100..100000) | 9090 |
Hard cap on capital this strategy is allowed to commit on this pair. Drives circuit breakers (daily-loss = % of this) and exposure math. Set to the maximum quote balance you want this pair to ever consume. |
Allocation
How much of THIS pair’s wallet the strategy may use, what it must start with, and the hard config gate. Trading is BLOCKED until Wallet allocation % is set AND Allocation confirmed is ON. Optional grid splits an order into laddered post-only rungs for better fills.
| Key | Type | Default | Description |
|---|---|---|---|
ALLOC_PCT |
range (range 1..100) | 25 |
Percentage of THIS pair’s wallet balance the strategy may deploy. Effective cap = min(wallet × this %, the absolute Capital allocation). Every order is clamped to it and can never exceed it. REQUIRED — trading is blocked until this is set (>0) and Allocation confirmed is ON. |
ALLOC_CONFIRMED |
boolean | False |
Explicit acknowledgement that the allocation above is correct for this pair. The strategy will NOT place any entry order until this is ON. A clear "ALLOCATION CONFIGURED" line is logged once it is; otherwise an "ALLOCATION NOT CONFIGURED — refusing to trade" line is logged each cycle. |
ALLOC_SPLIT_TOL |
range (range 0..100) | 15 |
How far the starting base/quote split may deviate from what this strategy needs before it refuses to start. Long-only strategies want mostly quote/cash; two-sided market-makers want ~50/50 base/quote; futures want free margin. Mismatch beyond this % blocks trading (unless Enforce start inventory is OFF). |
ALLOC_ENFORCE_SPLIT |
boolean | True |
When ON, the strategy refuses to trade until the starting base/quote split is within tolerance of what it needs (archetype-aware). When OFF, a mismatch is logged as a warning but trading proceeds. |
ALLOC_AUTO_REBALANCE |
boolean | True |
Two-sided market-makers only. ON by default: if the pair starts off the target base/quote split, the strategy places a single bounded market order on start to reach it (e.g. buys ~half the allocation into base for a 50/50 maker), then begins normal trading. Set to OFF to instead stay blocked and log the exact amount to buy/sell manually. Long-only and futures strategies ignore this. |
ALLOC_RESERVE_PCT |
range (range 0..50) | 0 |
A buffer, as % of wallet, kept BELOW the allocation cap and never deployed. Use to leave headroom for fees/slippage. Effective cap = min(wallet × allocation %, absolute cap) − wallet × this %. |
MR_GRID |
boolean | False |
When ON, an entry order is split into several laddered post-only rungs across a price band instead of one order — often gets better average fills. Cumulative size is still clamped to the allocation. OFF = single order. |
MR_GRID_LEVELS |
range (range 2..10) | 3 |
Number of laddered rungs to split an entry into when "Split entries into a grid" is ON. More rungs = finer fills but more orders. |
MR_GRID_SPAN_PCT |
range (range 0.1..5) | 0.5 |
Price band width, as % from the reference price, across which the grid rungs are spread. e.g. 0.5 places rungs from the reference price down to 0.5% below it (for buys). |
OU Model
Ornstein-Uhlenbeck estimator parameters and refit cadence.
| Key | Type | Default | Description |
|---|---|---|---|
MR_OU_LB |
range (range 20..500) | 20 |
Sample length used for the OU OLS fit. Unit follows MR_FRESHBAR_ONLY (bars when ON, cycles when OFF). Shorter = faster adaptation, noisier params. Longer = stabler but slower to react. |
MR_FRESHBAR_ONLY |
boolean | True |
When ON (default), the OU fit appends only on new candle closes — half-life is in BARS, matching the discretised OU model. When OFF (v1.x behaviour), refits every cycle on live mid — half-life is in CYCLES and depends on Gunbot cycle length. |
Bertram Thresholds
Bertram (2010) optimal entry/exit thresholds for stat-arb on OU; toggle off to use plain z-score thresholds.
| Key | Type | Default | Description |
|---|---|---|---|
MR_BERTRAM |
boolean | True |
When ON, entry threshold a* is derived from a 3rd-order fit to Bertram (2010) Table 1 numerical optima given round-trip cost in σ_eq units. When OFF, falls back to the configured Z_ENTRY. |
MR_BERTRAM_C |
range (range 0..5) | 0 |
Round-trip cost in σ_eq units used in Bertram's formula. 0 = auto-derive from MR_FEE and current σ_eq (recommended). Set non-zero only to override the cost. |
MR_BERTRAM_GAMMA |
range (range 0.5..3) | 1 |
Multiplier applied to the optimal a* (1.0 = optimal; <1.0 = more aggressive entry, >1.0 = require deeper deviation). 1.0 is the textbook value. |
MR_BERTRAM_MIN_HL |
range (range 1..200) | 5 |
Bertram thresholds only activate when estimated half-life ≥ this. Below it, the OU fit is too fast/noisy for Bertram to be meaningful and the strategy reverts to configured Z thresholds. |
MR_ENTRY_Z |
range (range 0.5..4) | 1.5 |
Entry z-score threshold used when Bertram is OFF or inactive. Higher = require deeper deviation before entry. |
MR_EXIT_Z |
range (range 0..1.5) | 0.3 |
Exit when |z| falls below this AND gain ≥ MR_GAIN. Smaller = waits closer to mean before scratching; larger = exits earlier on partial reversion. |
DCA & Exits
DCA tranche schedule, take-profit and time-to-live.
| Key | Type | Default | Description |
|---|---|---|---|
MR_MAX_DCA |
range (range 1..20) | 5 |
Maximum number of layered entries as the deviation deepens. Each layer requires an additional MR_DCA_Z z-score of further depth. |
MR_DCA_DECAY |
range (range 0.3..1) | 0.75 |
Each DCA tranche is sized TL · DECAY^level. 0.75 means each layer is 75% of the previous (geometric scale-in). 1.0 = flat-sized layers (more aggressive). |
MR_DCA_Z |
range (range 0.1..2) | 0.5 |
Additional z-score required to trigger the next DCA tranche. Higher = layers spread further out in deviation space; lower = tighter ladder of entries. |
MR_GAIN |
range (range 0..5) | 0.5 |
Minimum percentage gain over break-even required before the mean-reversion exit will fire. Acts as a fee-aware profit floor. |
MR_COMPOUND |
range (range 0..100) | 50 |
Share of realised profit added back into the effective TL. 50% = half reinvested, half harvested. 0% = constant TL forever. |
MR_MAX_HOLD |
range (range 20..5000) | 200 |
After this many bars/cycles the position is closed regardless of z, to free capital. Unit follows MR_FRESHBAR_ONLY. |
Rebates & Display
Sidebar precision.
| Key | Type | Default | Description |
|---|---|---|---|
MR_SP |
range (range 0..8) | 4 |
Decimal places shown for prices in the sidebar. |
Runtime & Exchange
Logging, fees and the cross-exchange/safety toggles.
| Key | Type | Default | Description |
|---|---|---|---|
LOG_LEVEL |
select | NORMAL |
Controls how much the strategy writes to Gunbot logs. SILENT keeps only errors and circuit-breaker messages. NORMAL writes one summary line per cycle plus order events — recommended for live trading. DEBUG adds full internal model state. |
WARMUP_CYCLES |
range (range 1..60) | 5 |
Cycles to wait before the strategy starts placing orders. Lets candle history, OU/ADF fits, and tape caches reach a stable estimate. 5 is fine on liquid pairs; raise to 15-30 on illiquid pairs or longer candle periods. |
MR_FEE |
range (range 0..0.2) | 0.1 |
Taker fee for your exchange tier, as a percentage. Used in P&L bookkeeping and fee-aware exit-price math. Pull the exact number from your exchange fee schedule (VIP/maker tier) for accurate fees. |
MR_MAX_DD |
range (range 1..30) | 15 |
Peak-to-trough equity drawdown that pauses the strategy. Hits → strategy stops placing new orders until manual reset. Tighter (3-5%) for conservative, wider (10-20%) for higher-risk venues. |
MR_MAX_EXP |
range (range 10..95) | 75 |
Hard cap on capital deployed at any moment. Above this, new entry orders are blocked. Lower = more idle cash buffer; higher = more capital working but tighter liquidation risk on futures. |
MR_DAILY_LOSS |
range (range 0.5..10) | 2 |
Daily loss budget as a % of CAPITAL_ALLOC. When today's PnL falls below this threshold, the strategy halts for the remainder of the UTC day. Resets at next-day rollover. |
BE_GUARD |
boolean | True |
When ON, blocks any sell/close at a price BELOW the position break-even while holding a long. Wraps sellMarket, sellLimit, sellLimitPostOnly, closeMarket and closeLimit. Set false to disable (e.g. when you intentionally allow stop-loss exits below BE). |
NO_POST_ONLY |
boolean | False |
When ON, every post-only order is routed as a regular limit order instead. Auto-enabled for PancakeSwap and Aster (DEXes with no post-only flag). Turn ON manually for any exchange that rejects post-only with an error in your logs. |
NO_CLOSE_MARKET |
boolean | False |
When ON, position closes are routed through opposite-side market orders instead of closeMarket(). Auto-enabled when closeMarket is unavailable in the runtime. Use only if your exchange/build does not implement the close API. |
MR_TRACE |
boolean | False |
When ON, writes a structured JSONL audit trail to gunbot_logs/quantroduction/ |
VERBOSE_LOGS |
boolean | False |
When ON, the full Quantroduction × Gunbot dashboard (every config value + state snapshot) re-emits every VERBOSE_INTERVAL_MIN minutes for forensic audit. When OFF (default), the dashboard only fires once per Gunbot restart per pair. |
VERBOSE_INTERVAL_MIN |
range (range 5..240) | 30 |
How often the dashboard re-emits when VERBOSE_LOGS is ON. Lower = more frequent / noisier; higher = quieter. Has no effect when VERBOSE_LOGS is OFF. |
BE_GUARD_BLOCK_MARKET_SELLS |
boolean | True |
Default ON (legacy). Set OFF to enable SOFT BE_GUARD: market sells and closeMarket pass through (treated as urgent / stop-loss). Only limit sells below break-even remain blocked. Prevents BE_GUARD from silently swallowing stop-loss exits. |
SCRATCH_LIVENESS_MIN |
range (range 0..120) | 0 |
When >0: if the pair holds inventory and hasn't filled in N minutes AND the bid is at break-even+1bp, force a market exit to rotate capital. 0 = disabled. Typical: 30. |
CONSEC_RESET_CYCLES |
range (range 60..2880) | 480 |
After this many cycles without any order activity, auto-reset consecutiveLosses to 0. Default 480 cycles ≈ 2h at 15s/cycle. Prevents a 3-loss streak from killing the pair for the entire session. |
DRIFT_ATR_FRAC |
range (range 0..0.5) | 0 |
When >0: scale drift-requote threshold to this fraction of the recent 10-candle high-low range (clamped 2-100 bps). 0 = use fixed *_STALE_DRIFT_BPS. Typical: 0.05 = 5% of recent range. Adapts drift detection to per-pair volatility. |
SKEW_QTY_MAX |
range (range 1..5) | 2.5 |
Maximum ask:bid qty ratio when inventory is heavily skewed. 2.5 means a heavily-bagged pair quotes up to 2.5x ask qty vs bid qty to drain inventory faster. Set 1.0 to disable (symmetric quoting). |
SKEW_QTY_TARGET |
range (range 0.1..0.9) | 0.5 |
Target inventory fraction of pair equity. 0.5 = 50/50 balanced base/quote. Skew kicks in proportionally as actual exposure deviates from target. |
PORTFOLIO_INCLUDE |
boolean | True |
When ON (default), this pair participates in the shared PORTFOLIO_EXP_BUDGET — its exposure counts toward portfolio total and bids pause when budget is exceeded. When OFF, the pair stands alone (use PAIR_EXP_BUDGET for own cap). |
PORTFOLIO_EXP_BUDGET |
range (range 0..1) | 0 |
Cap on total portfolio inventory as fraction of total allocated equity (sum across PORTFOLIO_INCLUDE pairs). 0 = disabled. Typical: 0.6 = 60% inventory cap across the included portfolio. When exceeded, bids pause but exits remain active. |
PAIR_EXP_BUDGET |
range (range 0..1) | 0 |
This pair's own exposure cap as fraction of pair equity (inventory / pair allocated capital). Applies independently of portfolio budget. 0 = disabled. Typical: 0.2 = 20% per-pair cap. |
DISABLE_BREAKER_WINDDOWN |
boolean | False |
When OFF (default), an active breaker (3 consecutive losses or daily loss limit) actively frees capital: cancels open orders and scratch-sells inventory IF profitable (bid >= BE+1bp). When ON, legacy halt-and-hold behaviour. |
TRACE_ALL |
boolean | False |
Master switch for the Quantroduction tracer. When ON, writes detailed per-cycle JSONL to gunbot_logs/quantroduction/ AND emits a verbose console summary. Equivalent to setting every |
Safety & Tuning (v1.0-beta)
Universal safety + tuning knobs added in v1.0-beta. These were previously hidden from the chart page even though the strategy reads them. Setting any of these here will be applied per-pair.
| Key | Type | Default | Description |
|---|---|---|---|
MIN_ORDER_QUOTE |
range (range 1..100) | 5 |
Floor on order size in quote currency to avoid exchange dust rejections. Match to your exchange's minimum notional. Default 5 USDT. |
MR_PERIOD |
string | 1 |
Candle period in minutes used for this strategy's indicators. Common values: '1', '5', '15'. Some strategies need a long history to warm up indicators. |
Risk & Safety
Exposure caps and drawdown circuit breakers
| Key | Type | Default | Description |
|---|---|---|---|
MR_CONSEC_LOSS_MAX |
range (range 2..10) | 3 |
Consecutive-loss circuit breaker. |
MR_DCA_REGIME_GUARD |
boolean | True |
When ON, blocks new DCA layers if the OU fit deteriorates (half-life rising / theta falling / residual variance breaking) — prevents averaging down into a regime break. |
Portfolio & Runtime (per-pair overrides)
Per-pair runtime knobs. Override any of these on a single pair without changing the strategy defaults.
| Key | Type | Default | Description |
|---|---|---|---|
RESET_BREAKER_ONCE |
boolean | False |
Set to true once to clear any tripped circuit breaker (consecutive-loss / daily-loss). The strategy auto-clears this flag after the reset fires so you don't have to remove it. |
RESET_STATS_ONCE |
boolean | False |
Set to true once to zero out wins, losses, consecutive losses, peak equity, max drawdown, trade count, and daily-loss lock. Total PnL is preserved. The flag auto-clears after the reset fires. |
QUANTRODUCTION_TRACE |
boolean | False |
Master switch for the diagnostic tracer. When on, every gate decision and breaker event is recorded so you can see exactly why the strategy did or did not act this cycle. |
SPREAD_PNL_JUMP_GUARD |
range (range 0.1..1) | 0.5 |
Realized-PnL deltas larger than this fraction of pair equity are treated as deposits/withdrawals/data-glitches and skipped. Default 0.5 means a single delta over 50% of equity is ignored. Lower for tighter glitch detection on small accounts. |
References & further reading
- Uhlenbeck, G. E. & Ornstein, L. S. (1930). On the theory of the Brownian motion. Physical Review 36(5), 823–841.
- Vasicek, O. (1977). An equilibrium characterization of the term structure. Journal of Financial Economics 5(2), 177–188.
- Avellaneda, M. & Lee, J.-H. (2010). Statistical arbitrage in the U.S. equities market. Quantitative Finance 10(7), 761–782.
Configuration playbook
- Full Tier 1-3 stack: see
OPERATOR_GUIDE.mdquick-start - Standalone pair (not in portfolio):
"PORTFOLIO_INCLUDE": false, "PAIR_EXP_BUDGET": 0.20 - Clear stuck breaker:
"RESET_BREAKER_ONCE": true - Clear historical loss counters:
"RESET_STATS_ONCE": true(preserves total PnL) - Enable JSONL tracer:
"TRACE_ALL": true - Soft BE_GUARD:
"BE_GUARD": true, "BE_GUARD_BLOCK_MARKET_SELLS": false