In plain terms: when the market looks like it’s in an uptrend (SPY above its 200-day average), the strategy uses short-term momentum signals on leveraged tech/Nasdaq ETFs to decide what to own. It may buy 3x Nasdaq tech ETFs (TQQQ/TECL) for upside, or hedge with UVXY (volatility) or PSQ (inverse Nasdaq) if momentum is extreme. The plan stays mostly in cash until those signals fire, then leans into the chosen instrument with a small rebalancing tolerance. It’s a momentum-driven, regime-based approach that tilts into leverage but uses hedges at extremes to try to protect against sharp pullbacks.

- It treats SPY as the market proxy and only acts when SPY is above its 200-day moving average (a long-term uptrend condition). - If that uptrend is confirmed, it looks at short-term momentum signals (RSI over 10 days) on several leveraged/inverse ETFs relative to Nasdaq/tech exposure to decide which instrument to buy. - First priority signal: if TQQQ’s 10-day RSI is very high (above 79), it buys UVXY (volatility ETF) to hedge against a potential pullback when tech is extremely overbought. - If the above isn’t true, another signal checks TECL: if TECL’s 10-day RSI is very low (below 31), it buys TECL (3x Tech long) to catch a rebound when tech momentum is oversold. - A further branch looks at PSQ (inverse Nasdaq) based on QQQ momentum signals (e.g., QQQ’s RSI above 70) to hedge a run-up in Nasdaq by taking a short Nasdaq position. - There are additional nested checks involving QQQ and a SHY-relative condition to decide whether to hold QQQ or PSQ depending on the short-term momentum picture. - The architecture uses a cash-equal wrapper, implying the system keeps cash as a base and allocates to the selected asset when a condition is met; the exact allocation weight appears to be 100% of the active exposure when engaged. - The “rebalance corridor width” of 0.05 indicates only small changes in exposure are triggered unless the decision thresholds are meaningfully crossed. - Overall, the strategy attempts to ride favorable market regimes with 3x leveraged tech exposure but hedges are introduced when momentum signals indicate extreme conditions, aiming to limit drawdowns while pursuing upside in uptrends.

Regime-driven momentum strategy tilts into leveraged tech in uptrends and hedges at extremes. Out-of-sample annualized return ~88% vs SPY ~23%, with Calmar ~1.65 and Sharpe ~1.40—higher upside with disciplined risk controls.