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The physical trader has an important role in selecting appropriate values for TPBmin , SRMC, TPBmax and the pricebands as bid.
Review the supply curve around your SRMC (say -$40, an example is shown below).
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Choose a price point that is
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100MW (say) below your SRMC but where the price point is not too much less than SRMC (enter this price point
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under Settings/Algo Bid Parameters as trader priceband min, TPBmin). In the example I’ve chosen -$52.
Similarly choose a price point
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100MW (say) above your SRMC but where the price point is not too much greater than SRMC (enter this price point
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as trader
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priceband max, TPBmax). In the example I’ve chosen -$35.
Then choose PB2, PB3, PB4 and PB5 as shown below.
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Note that pricebands and trader priceband min and max are mostly static numbers. They should only be adjusted to fine tune results or when there is a change to the SRMC. In total the above requires 6 pricebands, the four described above plus PB1 and PB10. PB6 - PB9 should be chosen either to provide spot trading flexibility (for example portfolio optimisation) or for the rare occasion when FCAS liability is significant. Otherwise PB6-9 is effectively redundant.