Candle Three Soldiers Trader

This is a template. The default signal detects Three White Soldiers and Three Black Crows patterns in crypto 5-min interval markets and trades continuation on lagging intervals -- remix it with volume confirmation, real-time price feeds, or volatility filters. The skill handles all the plumbing (market discovery, interval parsing, pattern detection, trade execution, safeguards). Your agent provides the alpha.

Strategy Overview

Polymarket lists hundreds of live crypto "Up or Down" 5-minute interval markets per day across Bitcoin, Ethereum, and Solana. Each asks whether a coin will go up or down in a specific 5-minute window (e.g. "Bitcoin Up or Down - March 29, 10:50AM-10:55AM ET").

"Three White Soldiers" is a classic candlestick continuation pattern: three consecutive intervals all showing strong UP bias (p > 0.57). When this pattern appears but the NEXT interval hasn't caught up yet (p < 0.55), the continuation hasn't been fully priced in. "Three Black Crows" is the bearish mirror: three consecutive strong DOWN intervals (p < 0.43), and the next interval hasn't caught down (p > 0.45).

The skill detects these patterns, identifies lagging next intervals, and trades the continuation direction with conviction scaled by the lag distance.

Edge

Three consecutive strong-bias intervals establish a micro-trend that tends to persist one more interval:

1. Momentum persistence -- When three intervals all show >57% bias in one direction, the underlying move is real, not noise. The 4th interval often follows but market makers are slow to adjust its price
2. Lag exploitation -- The next interval's price lags because Polymarket participants price each interval somewhat independently rather than incorporating the trend from adjacent intervals
3. Multi-coin coverage -- Scanning Bitcoin, Ethereum, and Solana multiplies pattern opportunities by 3x
4. Short resolution -- 5-minute markets resolve quickly; capital is recycled fast and the edge compounds

Signal Logic

1. Discover active crypto "Up or Down" 5-min interval markets via keyword search + get_markets(limit=200) fallback
2. Parse each question to extract coin, date, and time window (e.g. "Bitcoin", "March 29", "10:50AM", "10:55AM")
3. Group by (coin, date) and sort by time window
4. Scan sorted intervals for three consecutive where ALL > SOLDIER_THRESHOLD (default 0.57) or ALL < (1 - 0.57 = 0.43)
5. After detecting pattern, check the NEXT interval:
   • Three soldiers (UP) + next < 0.55: buy YES (hasn't caught up)
   • Three crows (DOWN) + next > 0.45: buy NO (hasn't caught down)
6. Conviction scales with lag distance from trend
7. Size = max(MIN_TRADE, conviction * MAX_POSITION)

Remix Signal Ideas

• Volume confirmation: Only trade soldiers/crows patterns where the three intervals also show above-average volume -- filters out low-liquidity noise
• Binance real-time feed: Confirm the underlying coin is actually trending in the soldiers/crows direction on spot markets before entering
• Acceleration filter: Require the three intervals to show increasing bias (p1 < p2 < p3 for soldiers) -- an accelerating trend is more likely to continue
• Time-of-day weighting: Crypto trends are stronger during US market hours (14:00-21:00 UTC); weight continuation signals higher during these periods
• Multi-timeframe confirmation: If both 5-min and 15-min intervals show soldiers pattern, increase conviction

Safety & Execution Mode

The skill defaults to paper trading (venue="sim"). Real trades only with --live flag.

autostart: false and cron: null mean nothing runs automatically until configured in Simmer UI.

Required Credentials

Tunables (Risk Parameters)

All declared as tunables in clawhub.json and adjustable from the Simmer UI.

Edge Thesis

Candlestick continuation patterns work because they identify intervals where a micro-trend has established but hasn't fully propagated to adjacent intervals. Three consecutive strong-bias intervals are statistically significant -- they represent genuine directional momentum rather than noise. Polymarket's interval pricing is somewhat independent across adjacent windows, meaning a strong trend in intervals N, N+1, N+2 doesn't automatically get priced into interval N+3. This lag creates a window where the continuation trade has positive expected value. The skill exploits this structural inefficiency in how Polymarket participants price sequential interval markets.

Dependency

simmer-sdk by Simmer Markets (SpartanLabsXyz)

• PyPI: https://pypi.org/project/simmer-sdk/
• GitHub: https://github.com/SpartanLabsXyz/simmer-sdk