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Symphonies
5-50D RSI Mean Reversion
Today’s Change
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A symphony is an automated trading strategy — Learn more about symphonies here

About

A tactical chip‑sector strategy: buy dips with increasing 3× long (SOXL), short rips with 3× inverse (SOXS), else follow trend (own SMH or move to SOXS/SHY). Signals come from a 0–100 recent‑move score (RSI) on SMH.
NutHow it works
It watches SMH (a big semiconductor‑stock fund) and uses a 0–100 “recent‑move” score (RSI) over 5–50 days. If that score is low (<36), it buys the dip: SMH plus some SOXL (3× bull), adding more SOXL the deeper the dip. If the score is high (>70), it fades rips: SMH plus some SOXS (3× bear), adding more SOXS as it stretches. Otherwise it uses trend: above the 200‑day average it owns SMH; in weak trends it picks SOXS or SHY (short‑term Treasuries).
CheckmarkValue prop
Out-of-sample: ~44.5% annual return with ~44% max drawdown, Sharpe ~1.02, Calmar ~1.0 vs S&P 500 ~20.6% return and ~19% drawdown. Captures leveraged semiconductor cycles with disciplined risk - stronger upside than the index.

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Invest in this strategy
OOS Start Date
Sep 19, 2022
Trading Setting
Threshold 8%
Type
Stocks
Category
Semiconductors, tactical, mean reversion, rsi, momentum overlay, leveraged etfs, long/short
Tickers in this symphonyThis symphony trades 4 assets in total
Ticker
Type
SHY
iShares 1-3 Year Treasury Bond ETF
Stocks
SMH
VanEck Semiconductor ETF
Stocks
SOXL
Direxion Daily Semiconductor Bull 3X Shares
Stocks
SOXS
Direxion Daily Semiconductor Bear 3X Shares
Stocks

FAQ

A Composer symphony is an automated trading strategy that executes trades based on parameters of your choice. Some symphonies are similar to holding one ETF in normal conditions and rotating to a different ETF when market conditions shift, for example a 5% drop in the S&P 500, while others use complex rules with dozens of triggers. However, complex doesn’t always mean better. A simple, well-structured symphony can be just as effective as an intricate one. Learn more about how symphonies work here.

"5-50D RSI Mean Reversion" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"5-50D RSI Mean Reversion" is currently allocated toSMHandSOXS. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "5-50D RSI Mean Reversion" has returned 44.46%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "5-50D RSI Mean Reversion" is 44.49%. The maximum drawdown measures the largest peak-to-trough decline. It's an important metric to evaluate risk and the strategy's behavior during market stress.

To invest in "5-50D RSI Mean Reversion", simply click the Invest button on this page. You'll need to open an account with Composer if you don't have one yet, then you can start investing. Composer will automatically execute the trades for you based on the strategy's rules. Composer also supports trading individual stocks, ETFs, crypto, and options.