Trading Strategies

Grid Singularity’s exchange engine has a built-in template trading agent. The agent’s trading strategy is deterministic. Each consumer asset will first try to buy energy at a low price and, if not cleared, the price will increase linearly during the market slot until a user-defined maximum is reached. In turn, assets generating energy will try to sell at a high price first and, if not cleared, reduce their rate linearly until a user-set minimum is reached.

Offers’ trading settings are as follows:

  • initial_selling_rate
  • final_selling_rate
  • update_interval
  • energy_rate_decrease_per_update
  • fit_to_limit

The following plot shows the changing energy rate in a spot market slot (slot_length = 15min) for four different trading settings.

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Figure 4.13: Four different generation trading settings in a spot market slot (slot_length = 15 min).

If fit_to_limit is set to True, energy_rate_decrease_per_update is ignored and a rate decrease per time is calculated, starting at initial_selling_rate and ending at final_selling_rate while updating the rate at each update_interval.

Bids’ Trading settings:

  • initial_buying_rate
  • final_buying_rate
  • update_interval
  • energy_rate_increase_per_update
  • fit_to_limit

The following plot shows the energy rate change in a spot market slot (slot_length = 15min) for different trading settings. If fit_to_limit is set to True, energy_rate_increase_per_update is ignored and a rate increase per time is calculated that starts at initial_buying_rate and ends at final_buying_rate while updating the rate at each update_interval.

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Figure 4.14: Four different load trading settings in a spot market slot (slot_length = 15 min).

Assets can also deploy more intelligent trading strategies, as shown in the example Heat Pump Trading Strategy and further demonstrated in the 2020 Energy Singularity Challenge, described in the following two articles:

Information on how to set up and train intelligent trading strategies through the Grid Singularity Asset API is available here.