The Ego is the Enemy: Automating the SuperTrend

2025-12-08

Human beings love to be right. In trading, "being right" often means calling the exact top or the exact bottom of a move. It strokes the ego. It makes us feel like prophets.

This desire to be a prophet is why you lose money.

You see Bitcoin pump 10% and you think, "It has gone up too much, it must come down." So you short. And it pumps another 5%. You add to your short. It pumps again. You are liquidated.

This is called Mean Reversion Bias. Your brain craves equilibrium. But the market can stay irrational longer than you can stay solvent.

The Trend is Your Master

To survive, you must kill your ego. You must admit that you do not know where the top is. You do not know if price is "too high."

The only truth is the current price action. If higher highs are forming, the trend is up. Period.

We need a system that forces us to respect the trend, even when our gut tells us otherwise. We need the SuperTrend.

The Logic: Binary Discipline

The SuperTrend indicator is not magic. It is simply ATR (volatility) + Price. But its power lies in its binary nature. It is either Green (Bullish) or Red (Bearish). There is no "maybe."

We use Pine Script v6 to turn this visual indicator into a strict law for our bots:

1. Trend Filter: If SuperTrend is Green, the bot is only allowed to open Longs. Shorting is disabled at the code level.
2. Trend Following: As long as the line holds, we hold. We do not take profit just because we are "scared" the profit will vanish.

The Code: Pine Script v6 Implementation

This script acts as a filter. It prevents you from counter-trend trading.

//@version=6
indicator("Codon: SuperTrend Enforcer", overlay=true)

// --- Settings ---
float atrFactor = input.float(3.0, "ATR Factor")
int atrPeriod = input.int(10, "ATR Period")

// --- Logic ---
[superTrendPath, trendDirection] = ta.supertrend(atrFactor, atrPeriod)

// trendDirection: -1 is Up (Green), 1 is Down (Red)
bool isBullish = trendDirection < 0
bool isBearish = trendDirection > 0

// Visuals
plot(superTrendPath, color = isBullish ? color.green : color.red, linewidth=2)

// --- The Automation Trigger ---
// We only generate signals aligned with the trend
// Example: Buy only if trend is Bullish AND Price pulls back to the line
bool pullbackBuy = isBullish and ta.crossunder(low, superTrendPath * 1.01)

if pullbackBuy
    alert("3Commas Long Trigger (Trend Follow)", alert.freq_once_per_bar_close)

// --- The Ego Check ---
// If you try to create a Short alert while trend is Green, the logic simply won't fire.
// You are physically prevented from fighting the trend.

The Automation Layer

By connecting this script to 3Commas, you solve two massive psychological problems:

1. FOMO Buying: You don't buy the top. You wait for the logic (Trend is Green + Pullback).
2. Top Picking: You literally cannot open a short position through the bot while the SuperTrend is green. The script censors your bad ideas.

You might look at the chart and scream "It's overbought!" But your bot stays silent. And when price rips another 20% higher, you will thank the machine for ignoring you.

In a trending market, stupidity is trying to outsmart the flow. Intelligence is surrendering to it.

(Check the footer for the 3Commas settings we use)