A daily-rebalanced, rule-based mix of bonds and high-beta equities guided by 10-day momentum. Uses SHV, SOXL/SOX, UVXY as hedges or tilt instruments; primarily compares BND vs SPHB momentum, with nested rules to hedge risk and adjust exposure toward cash if signals weaken.

- The plan runs every day. It compares the 10-day momentum of two main building blocks: BND (bond exposure) vs SPHB (high-beta stock exposure). Momentum here is measured using a simple strength-over-time idea: has the asset been moving up or down consistently over about 10 days? If BND’s momentum is stronger than SPHB’s, the system tilts toward bonds and cash. If SPHB’s momentum is stronger, it tilts toward SPHB (stocks). - There are several backup rules using other assets to decide how much to tilt and when to hedge: - SHV (short-term Treasuries) acts as a safe-haven option to dampen risk when signals look weak. - SOXX (semiconductors) and SOXL (leveraged semiconductor exposure) come into play in more aggressive branches, suggesting higher exposure to tech/growth if certain momentum thresholds are met. - UVXY (volatility ETF) is used as a hedge when momentum signals indicate rising market risk (typically when certain indicators exceed a threshold). - The decision tree uses a series of if-then checks with thresholds (for example, RSI-style momentum checks) to decide whether to overweight or underweight each asset. In plain terms: if momentum signals are strong for bonds, lean to bonds and cash; if signals favor riskier equities, lean to equities but keep hedges ready if risk rises. - RSI-like checks: RSI is a momentum gauge that compares recent gains to recent losses to decide if an asset is “overbought” (likely due for a pullback) or “oversold” (potential to rebound). In this strategy, RSI values (and thresholds like 80 or 74) are used to trigger or avoid certain bets (e.g., avoid or reduce exposure to ultrashort/more aggressive assets if momentum is extremely high on the wrong side). - The default posture when nothing compelling happens is to weight cash evenly, providing a ballast so you don’t stay overexposed to any single move. - In short: daily, you’re balancing a bond-like stance with an equity-like stance, guided by 10-day momentum signals and a handful of hedging instruments to protect against sudden risk spikes.

Dynamic momentum tilt: bonds vs high-beta equities with hedges and daily rebalancing. Out-of-sample edge: ~100% annualized return vs ~22% SPY; Calmar ~1.43, Sharpe ~1.25. Growth potential with risk controls, but higher drawdown in stress.