A high-risk, daily-regime LETF rotation system that chooses one fully invested basket from a large universe of leveraged/inverse ETFs (e.g., TQQQ, SPXL, SOXL, SQQQ, SPXS) plus treasury/gold assets, based on momentum/volatility signals. It seeks to ride uptrends with leverage when conditions look favorable and shift to risk-off bets when volatility spikes or momentum falters, rebalancing every day.

- Start from a cash base (think of it as 100% cash-ready). - Evaluate a large set of market signals (momentum, trend, and volatility) on major market proxies (e.g., SPY for the broad market, QQQ for tech, TLT for long bonds) and on a wide basket of leveraged/inverse ETFs and other asset classes. - Classify the current market into a regime group (e.g., Bull 1, Bull 2, Bear 1, Bear 2, Bear 3, etc.). Each regime corresponds to a different “basket” of assets the strategy will invest in. These regimes are implemented as nested if/else decision trees that check conditions like how strong the market looks, how volatile it is, and how certain assets are performing relative to moving averages or momentum screens. - For each regime, select assets using top/bottom filters (e.g., “top” or “bottom” from a candidate list) and apply a very simple, explicit rule: allocate the entire capital to the chosen assets in that regime (weight 100/100). - Daily rebalance: every day, re-run the regime logic and reallocate fully to the assets dictated by the current regime. - Asset universe includes a variety of leveraged and inverse ETFs to express both bullish and bearish views on equities, as well as treasury-bond and commodity exposures (e.g., TQQQ, SPXL, TECL, SOXL, SQQQ, SPXS, TMF, TMV, SHY, BIL, GLD, etc.). The aim is to capture regime shifts (risk-on/risk-off) with a diversified LETF basket, while trying to avoid staying too long in a regime that loses momentum. Volatility signals (e.g., VXX) act as guardrails, potentially dampening exposure when fear rises. - The strategy is inherently high risk due to the heavy use of leverage, the use of daily rebalancing, and the concentration in a single basket at a time. It is intended for sophisticated investors comfortable with rapid regime shifts and outsized drawdowns during adverse moves. The long and complex DSL structure is essentially a hand-built decision engine designed to mimic a multi-model ensemble selecting among many LETF-based baskets depending on market regime indicators.

Regime-based LETF rotation aims to beat the S&P by riding uptrends with leverage, using risk controls. Out-of-sample: ~36% annualized vs ~18% for the S&P; higher upside, higher risk—sophisticated investors.