Bybit MCP Server

Instructions

Implementation Reference

• src/bybit-service.ts:526-748 (handler)

  Core handler function implementing trailing stop calculation logic with breakeven and profit protection features, unrealized PnL computation, risk warnings, and tick-size compliant price rounding.
  async calculateTrailingStop( category: string, symbol: string, entryPrice: number, currentPrice: number, side: 'Buy' | 'Sell', initialStopLoss: number, trailingDistance: number, breakevenTrigger?: number, profitProtectionTrigger?: number ): Promise<{ newStopLoss: number; trailingActivated: boolean; breakevenProtection: boolean; profitProtected: number; unrealizedPnL: number; unrealizedPnLPercentage: number; recommendations: { shouldUpdateStop: boolean; newStopPrice: number; protectionLevel: 'none' | 'breakeven' | 'profit'; reasoning: string; }; calculations: { priceMovement: number; priceMovementPercentage: number; stopLossMovement: number; maxDrawdownProtection: number; profitLocked: number; }; warnings: string[]; error?: string; }> { try { const warnings: string[] = []; const isLong = side === 'Buy'; // Validate inputs if (trailingDistance <= 0) { return { newStopLoss: initialStopLoss, trailingActivated: false, breakevenProtection: false, profitProtected: 0, unrealizedPnL: 0, unrealizedPnLPercentage: 0, recommendations: { shouldUpdateStop: false, newStopPrice: initialStopLoss, protectionLevel: 'none', reasoning: 'Invalid trailing distance' }, calculations: { priceMovement: 0, priceMovementPercentage: 0, stopLossMovement: 0, maxDrawdownProtection: 0, profitLocked: 0 }, warnings: ['Trailing distance must be greater than 0'], error: 'Invalid trailing distance' }; } // Calculate price movements const priceMovement = isLong ? currentPrice - entryPrice : entryPrice - currentPrice; const priceMovementPercentage = (priceMovement / entryPrice) * 100; // Calculate unrealized PnL const unrealizedPnL = priceMovement; const unrealizedPnLPercentage = priceMovementPercentage; // Set default triggers if not provided const breakevenTriggerDistance = breakevenTrigger || (Math.abs(entryPrice - initialStopLoss) * 1.5); const profitProtectionTriggerDistance = profitProtectionTrigger || (Math.abs(entryPrice - initialStopLoss) * 2.0); let newStopLoss = initialStopLoss; let trailingActivated = false; let breakevenProtection = false; let profitProtected = 0; let protectionLevel: 'none' | 'breakeven' | 'profit' = 'none'; let reasoning = 'No trailing conditions met'; // Check if price has moved favorably enough to activate trailing const favorableMovement = isLong ? currentPrice > entryPrice : currentPrice < entryPrice; if (favorableMovement) { // Calculate potential new stop loss based on trailing distance const potentialNewStop = isLong ? currentPrice - trailingDistance : currentPrice + trailingDistance; // Only move stop loss if it's better than current stop const shouldMoveStop = isLong ? potentialNewStop > initialStopLoss : potentialNewStop < initialStopLoss; if (shouldMoveStop) { newStopLoss = potentialNewStop; trailingActivated = true; // Check for breakeven protection const breakevenReached = isLong ? currentPrice >= entryPrice + breakevenTriggerDistance : currentPrice <= entryPrice - breakevenTriggerDistance; if (breakevenReached) { const breakevenStop = entryPrice; // Move stop to breakeven if (isLong ? breakevenStop > newStopLoss : breakevenStop < newStopLoss) { newStopLoss = breakevenStop; breakevenProtection = true; protectionLevel = 'breakeven'; reasoning = 'Breakeven protection activated - stop moved to entry price'; } } // Check for profit protection const profitProtectionReached = isLong ? currentPrice >= entryPrice + profitProtectionTriggerDistance : currentPrice <= entryPrice - profitProtectionTriggerDistance; if (profitProtectionReached) { const profitProtectionStop = isLong ? entryPrice + (profitProtectionTriggerDistance * 0.5) // Lock in 50% of the trigger distance as profit : entryPrice - (profitProtectionTriggerDistance * 0.5); if (isLong ? profitProtectionStop > newStopLoss : profitProtectionStop < newStopLoss) { newStopLoss = profitProtectionStop; profitProtected = Math.abs(profitProtectionStop - entryPrice); protectionLevel = 'profit'; reasoning = `Profit protection activated - locking in ${profitProtected.toFixed(2)} profit`; } } if (protectionLevel === 'none') { reasoning = `Trailing stop activated - following price with ${trailingDistance} distance`; } } else { reasoning = 'Price moved favorably but not enough to improve stop loss'; } } else { reasoning = 'Price has not moved favorably - maintaining original stop loss'; } // Calculate additional metrics const stopLossMovement = Math.abs(newStopLoss - initialStopLoss); const maxDrawdownProtection = Math.abs(currentPrice - newStopLoss); const profitLocked = Math.max(0, isLong ? newStopLoss - entryPrice : entryPrice - newStopLoss); // Add warnings for risk management if (unrealizedPnLPercentage < -5) { warnings.push('Position is down more than 5% - consider reviewing strategy'); } if (trailingDistance > Math.abs(entryPrice - initialStopLoss) * 2) { warnings.push('Trailing distance is very large compared to initial risk - may give back too much profit'); } if (Math.abs(unrealizedPnLPercentage) > 20) { warnings.push('Large unrealized PnL - consider taking partial profits'); } // Get instrument info for price formatting const instrumentInfo = await this.getInstrumentsInfo(category, symbol); if ('result' in instrumentInfo) { const priceFilter = instrumentInfo.result.list[0].priceFilter; const tickSize = parseFloat(priceFilter.tickSize); const decimalPlaces = tickSize.toString().split('.')[1]?.length || 0; // Round new stop loss to valid tick size newStopLoss = Math.round(newStopLoss / tickSize) * tickSize; newStopLoss = parseFloat(newStopLoss.toFixed(decimalPlaces)); } return { newStopLoss, trailingActivated, breakevenProtection, profitProtected, unrealizedPnL, unrealizedPnLPercentage, recommendations: { shouldUpdateStop: newStopLoss !== initialStopLoss, newStopPrice: newStopLoss, protectionLevel, reasoning }, calculations: { priceMovement, priceMovementPercentage, stopLossMovement, maxDrawdownProtection, profitLocked }, warnings }; } catch (error: any) { return { newStopLoss: initialStopLoss, trailingActivated: false, breakevenProtection: false, profitProtected: 0, unrealizedPnL: 0, unrealizedPnLPercentage: 0, recommendations: { shouldUpdateStop: false, newStopPrice: initialStopLoss, protectionLevel: 'none', reasoning: 'Error calculating trailing stop' }, calculations: { priceMovement: 0, priceMovementPercentage: 0, stopLossMovement: 0, maxDrawdownProtection: 0, profitLocked: 0 }, warnings: [], error: error.message }; } }
• src/index.ts:591-636 (registration)

  MCP tool registration defining the 'calculate_trailing_stop' tool name, description, and input schema for validation.
  { name: 'calculate_trailing_stop', description: 'Calculate trailing stop loss with breakeven and profit protection', inputSchema: { type: 'object', properties: { category: { type: 'string', description: 'Category (linear, inverse)', }, symbol: { type: 'string', description: 'Symbol (e.g., ETHUSDT)', }, entryPrice: { type: 'number', description: 'Entry price of the position', }, currentPrice: { type: 'number', description: 'Current market price', }, side: { type: 'string', description: 'Position side (Buy for long, Sell for short)', }, initialStopLoss: { type: 'number', description: 'Initial stop loss price', }, trailingDistance: { type: 'number', description: 'Trailing distance in price units', }, breakevenTrigger: { type: 'number', description: 'Price distance from entry to activate breakeven protection (optional)', }, profitProtectionTrigger: { type: 'number', description: 'Price distance from entry to activate profit protection (optional)', }, }, required: ['category', 'symbol', 'entryPrice', 'currentPrice', 'side', 'initialStopLoss', 'trailingDistance'], }, },
• src/index.ts:1024-1044 (handler)

  Tool dispatch handler in main MCP server that extracts parameters from request and calls the BybitService.calculateTrailingStop method.
  case 'calculate_trailing_stop': { const result = await this.bybitService.calculateTrailingStop( typedArgs.category, typedArgs.symbol, typedArgs.entryPrice, typedArgs.currentPrice, typedArgs.side, typedArgs.initialStopLoss, typedArgs.trailingDistance, typedArgs.breakevenTrigger, typedArgs.profitProtectionTrigger ); return { content: [ { type: 'text', text: JSON.stringify(result, null, 2), }, ], }; }