Arithmetic and Geometric grid types
In arithmetic grids, the grids are consistently spaced by the same amount of quote. For example, if we are trading BNB/USDT, we could make an arithmetic grid with buy and sell orders every 20 USDT.
In geometric grids, the grids are consistently spaced by the same % difference in price. In the case of BNB/USDT, we could make a grid with buy/sell orders 1% apart.
When should you use arithmetic or geometric grid types?
It comes down to your personal preference and trading style, but you should know that geometric grid types are “bottom heavy” while arithmetic grids are evenly spaced across the range. For this reason, there are more buy orders in a geometric grid than in an arithmetic grid.
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