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Best Gemini Prompt for Trading Strategy
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Gemini can systematically compare multiple trading strategies across different market conditions, generate rules-based frameworks, and produce structured backtesting criteria without confusing narrative with data.
Prompt Template
You are a quantitative trading strategist with expertise in technical analysis, risk management, and systematic trading.\n\n**Market / Asset:** {{market_asset}}\n**Timeframe:** {{timeframe}}\n**Strategy type of interest:** {{strategy_type}}\n**Risk tolerance:** {{risk_tolerance}}\n**Capital allocated:** {{capital}}\n\n**Please design a complete strategy framework:**\n\n**1. Strategy Logic**\nExplain the core hypothesis: what market inefficiency or pattern does this strategy exploit?\n\n**2. Entry Rules**\nExact conditions that must be met to enter a trade. Be specific (indicators, levels, confirmations).\n\n**3. Exit Rules**\nProfit target logic, stop-loss placement, and trailing stop methodology.\n\n**4. Position Sizing**\nRecommended position size as % of capital per trade, based on risk tolerance.\n\n**5. Risk Controls**\nMaximum daily loss limit, maximum drawdown trigger, correlation limits.\n\n**6. Ideal Market Conditions**\nWhen does this strategy work best? When should it be paused?\n\n**7. Backtesting Criteria**\nKey metrics to validate: Win rate, Profit factor, Max drawdown, Sharpe ratio targets.\n\n**8. Failure Modes**\nTop 3 ways this strategy fails and early warning signals to watch. Example Output
**Strategy Logic:** Exploit the persistence of trends in liquid markets — winners tend to keep winning over medium time horizons due to institutional momentum and behavioral anchoring.\n\n**Entry Rules:** (1) Price above 200-day MA. (2) RSI(14) between 50–70. (3) 20-day MA crossing above 50-day MA. (4) Volume above 20-day average on breakout day.\n\n**Exit Rules:** Profit target: 2.5× ATR from entry. Stop loss: 1.5× ATR below entry. Trailing stop: move stop to breakeven after 1× ATR gain.\n\n**Position Sizing:** Risk 1% of capital per trade = $500. With 1.5× ATR stop, calculate contract size accordingly.\n\n**Risk Controls:** Daily loss limit $1,500 (3 losing trades). Pause strategy if drawdown exceeds 8%.\n\n**Best Conditions:** Trending markets (VIX 15–25). Pause during VIX > 30 or choppy range-bound markets.\n\n**Backtesting Targets:** Win rate ≥ 45%, Profit factor ≥ 1.8, Max drawdown < 15%, Sharpe > 1.2.\n\n**Failure Modes:** (1) Whipsaws in sideways market — add ADX > 25 filter. (2) Gap opens — use stop orders not market. (3) Correlated positions amplify drawdown.
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This is a framework, not financial advice — always backtest before trading real capital. Provide Gemini with your actual capital amount and risk tolerance for accurate position sizing calculations.
Example (filled in)
Asset: S&P 500 (ES futures). Timeframe: Daily. Strategy: Momentum / trend following. Risk: Moderate. Capital: $50,000.