A daily rebalanced, multi-bot momentum strategy that buys leveraged market bets on SPY/QQQ/SMH when short-term momentum looks strong, while dynamically hedging with bonds, USD, gold, commodities, and volatility assets to limit drawdowns.

What you’re looking at is a daily, rule-based engine made of many small decision trees (IFs) that decide where to put capital each day. Here’s a plain-language walkthrough: 1) The strategy contains several “Pop Bots” that try to buy powerful up-moves in specific areas of the market. Each bot targets a core asset or a set of related ETFs, most notably: SPY (broad market), QQQ (large-cap tech), and SMH (semiconductors). 2) For each bot, the system uses simple momentum signals to decide whether to enter or stay in a position. A common trigger is the RSI, a number that summarizes how fast prices have moved up or down recently. If certain RSI rules are met for a leveraged proxy (for example SPXL, TQQQ, SOXL) within a 10-day window, that bot can go live with a long position or adjust exposure. 3) Other checks compare price behavior over longer windows (e.g., cumulative return over 126 or 200 days, moving-average tests) to confirm trend strength or risk-off conditions. 4) When a signal fires, the system allocates a share of capital to the implicated long exposure, often via an equal-weighting rule within that bot (i.e., “cash-equal” within the group). The weights shown (e.g., 30/100, 16/100, 20/100, etc.) indicate how much of the portfolio’s risk budget is assigned to that bot group relative to the whole portfolio. 5) A hedging sleeve runs in parallel. The hedge components use assets designed to protect against drawdowns or volatility spikes: UVXY/SVXY (volatility proxies), USD and USD-related funds (USDU, UUP), gold (GLD), commodities (PDBC, DBC), and bonds (TLT, IEF, TMF, TMV, BND, BIL). These are selected and weighted based on market conditions signaled by the same or related rules, often moving to hedges when risk appears elevated. 6) The overall look is to dance between growth (pop) exposures and defensive hedges, aiming to capture upside in up markets while limiting losses in down markets. It is fully automated on a daily cadence and uses a mix of 2x/3x leverage and hedging instruments that can lead to large swings in either direction. Important notes for a layperson: - Leveraged ETFs (SPXL, TQQQ, SOXL, etc.) amplify daily moves. They can produce big gains in strong up moves but also big losses in pullbacks. The strategy uses them selectively as momentum plays. - The hedges are not intended to be “profit” positions but to reduce risk when volatility spikes or when momentum signals weaken. - This is a complex, data-heavy approach that relies on many moving parts. Real-world results depend on data quality, execution, and how quickly market regimes switch. It is not a guaranteed path to profits and involves substantial risk, especially with daily rebalancing and leverage.

Out-of-sample performance shows ~24% annualized return vs ~21% for the S&P, Calmar ~1.08 and beta ~0.77. Hedge-driven momentum aims to capture upside while limiting drawdowns, delivering stronger risk-adjusted growth than the S&P 500.