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Last updated on 9. 9. 2025 by Kornel Mazur

Genetic Algorithm Options

Settings → Genetic Options

The Genetic Options configuration tab becomes available only when Genetic Evolution is selected in Settings → What to Build → Build Mode. This section allows you to configure how genetic evolution algorithms are applied to evolve trading strategies over multiple generations.

1. Genetic Evolution Configuration

Max # of Generations

  • Defines how many generations the population will evolve.
  • Recommended range: 5–100
  • Note: Too many generations often yield diminishing returns. It's often more effective to restart evolution after stagnation.

Population Size

  • Number of strategies per island.
  • Recommended range: 10–100+
  • If using multiple islands, total population = island count × population size.

Crossover and Mutation Probability

  • Set the likelihood of genetic operations:
    • Crossover: This value says how much parents (strategies from previous generation) are used to interfere with one another. With a high value more blocks are exchanged between those strategies to create candidates for a new generation
    • Mutation: it is the likelihood of changing a strategy’s rule (block) to make a new strategy. With a low mutation setting, only minor changes are being made to strategies during the evolution process
  • Higher mutation rates can help explore more diverse strategy solutions.

2. Island Options

Islands represent isolated sub-populations that evolve independently, enhancing diversity and exploration.

Islands

  • Number of separate evolutionary sub-groups.
  • Recommended range: 1–10
  • More than 10 islands may slow progress due to excessive population size.

Migrate Every Xth Generation

  • Frequency of strategy migration between islands.
  • Recommended value: Every 10 generations
  • Helps “unstick” populations trapped in local optima while preserving diversity.

Population Migration Rate

  • Number or percentage of strategies to migrate.
    • For small populations (e.g., size 10): use 10–20%
    • For larger populations (e.g., size 100): use 1–5%

3. Initial Population Generation

Genetic evolution can begin from:

  • A randomly generated population
  • A user-defined set of strategies loaded from a databank

Use Strategies from Initial Population Databank

  • Enable this option to load strategies from the Initial Population databank.
  • If there are fewer strategies than needed, the remainder will be generated randomly.
  • Note: These are not filtered using the Initial Population filter.

Generated Decimation Coefficient

  • Controls oversampling of candidate strategies for initial selection.
    • Example: Decimation = 3 means generating 3x more strategies than needed, then selecting the best.
  • Improves initial quality but increases build time significantly.

Filter Generated Initial Population

  • Optional filter to set minimum requirements (e.g., number of trades) for initial population strategies.
  • Recommended to keep filters minimal to allow evolution to refine weaker strategies.

4. Evolution Management

Start Again When Finished

  • Automatically restarts evolution after reaching the final generation.
  • Suitable for long, unattended runs.

Restart Evolution Fitness If…

  • Triggers a restart if no fitness improvement is detected across generations.
  • Helps avoid wasted computation on stagnant populations.

5. Fresh Blood Mechanisms

Used to introduce new genetic material and maintain diversity.

Detect Same Strategies and Replace

  • Detects duplicate strategies in each generation and replaces them with randomly generated ones.

Replace X% of the Weakest Strategies

  • Periodically removes the lowest-performing strategies and replaces them with new ones.
  • Promotes stronger candidates and avoids population stagnation.

6. Show Last Generation Databank

  • Displays a special databank showing the current generation’s strategies.
  • Available only for the first island.

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