my rule: the bot gets one bad night, not two

been running perp strategies on automation for a while now and the thing that finally stopped me blowing up wasn't a better entry signal, it was a boring admin rule. process as it stands: - every strategy gets a fixed notional bucket. it does not get to borrow from another bucket because it's "on a run". i tried that once. it was not on a run, it was on variance. - daily loss cap per strategy, hard. hits the cap, it's flat and off until i look at it manually the next day. this is the "one bad night" thing. crypto trades while i'm asleep and drawdown compounds fastest at 4am when nobody's watching. - i journal the bot, not just the trades. every time i touch a parameter i write down what i changed and *why i believed it*, in one sentence. reading those back a month later is genuinely humbling. half of them are just "felt slow" which is not a reason. - i size assuming the funding side goes against me the whole hold. if the trade only works when funding is friendly, it's not a trade, it's a subsidy. where i'm still sloppy: i restart things too fast. cap gets hit, i stare at the logs for twenty minutes, convince myself it was a one-off liquidity thing, and turn it back on same day. that's me overriding my own rule with vibes. so now the rule is the restart has to happen the following day minimum, no exceptions, and if i can't wait that long the real problem is my position size, not the strategy. curious how other people handle the restart decision. do you have an actual checklist for turning something back on, or is it gut feel like mine used to be? and does anyone run a cooldown that's longer than a day, like a full week off after a bad stretch? tempted but worried i'd just never turn it on again.
CryptoKarl
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GapHunterMike· Jun 2026 ago
checklist or you'll lie to yourself. mine is three lines. was the loss inside expected distribution, did the fills match what i modelled, did anything change on the venue side. two yeses minimum or it stays off. week cooldown is fine. if you never turn it back on that's information too.
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MomoQueen· Jun 2026 ago· edited Aug 2026 ago
The restart-same-day thing is SO real, I did that for a year before I admitted it was just tilt with extra steps!! Now I make the restart a scheduled thing, not a decision. I only review paused strategies at one fixed time, and if I'm outside that window the answer is automatically no. Takes the willpower out of it completely, which is the whole point because my willpower at 2am is worth absolutely nothing.
GrandpaGrizzly· Jun 2026 ago· edited Aug 2026 ago
The bit about never turning it back on — son, that fear kept me in a dead strategy for two years back in the day, because switching it off felt like admitting I'd wasted the work. Sunk cost wears a lab coat when it's automated. One thing I'd add to your rules: it doesn't have to be off or on at full size. When something comes back from a cap I run it at a fraction of the bucket for a stretch and let it earn its way back up. A machine that's been wrong recently gets the same treatment I'd give a nephew who's been wrong recently. And your line about funding is the smartest thing in the post; I've watched plenty of fellas discover their edge was a rebate. Stay humble.
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