A daily-rebalanced, multi-layer hedged regime-switching strategy that uses RSI and price signals to alternate between stock exposure, volatility hedges, and bear-market positions, with a volatility hedge backbone and a bull/bear fund surfing mechanism.

- The strategy rebalances every day to adapt to current market conditions. - It first checks for extreme volatility/market stress signals using short-term momentum indicators (RSI) on key market proxies (e.g., SPY, QQQ). If momentum is extreme (e.g., RSI around 80 or higher), it shifts toward a volatility hedge (e.g., UVXY) to profit from spikes in market volatility. - If volatility signals aren’t extreme, the strategy tries to determine the regime: bullish or bearish. It does this by evaluating momentum and price relationships across a basket of core funds (e.g., SPY, QQQ, SSO, QLD) and by looking at how SPY price compares to its 200-day moving average. - Bull regime: the system selects a small group of the strongest funds based on momentum (RSI and price momentum) and allocates weights to them (often using a “fund Surf” approach that core selects top assets such as SPY, QQQ, SSO, QLD, etc.). It aims to be overweight in strong performers and avoid weak ones. - Bear regime: the system shifts to bear-market or hedged exposures (e.g., SQQQ, SPXU) and may include short or hedged fund options. It again uses momentum ranking to pick which funds to hold and weights them accordingly. - Layer 3 adds a bull strategy with hedges (e.g., long stock funds together with protective or hedged positions) to balance upside with risk controls. - Layer 4 provides a standard volatility hedge using very short-term Treasuries (e.g., BIL) to dampen drawdown in uncertain periods. - The strategy uses a mix of leveraged and non-leveraged ETFs (e.g., SPY, QQQ, SSO, QLD, SPXL, SQQQ, SPXU, QID, UVXY, BSV, TQQQ, UUP, BIL, SHY, TLT) to implement exposure and hedges. - Risks include over-reliance on RSI thresholds, lag in price signals, potential costs from frequent rebalancing, and the effects of leverage decay on held ETFs.

Out-of-sample annualized return: 38.4% vs 23.2% for SPY; Calmar 1.44; OOS Sharpe 1.25; positive alpha 0.23; beta ~0.63—lower market sensitivity with built-in hedges. Strong, risk-aware upside capture vs S&P.