A regime-switching, RSI-driven strategy that mostly holds QLD (2x QQQ) and flips to hedges (UVXY/SQQQ) when momentum is extreme, to very aggressive tech longs (TQQQ/TECL) when momentum is strong, and to capital-preserving assets (BIL) during sideways or overextended scenarios; it uses moving-average trend checks and non-regular (no-true) rebalancing, concentrating risk in leveraged tech exposure with occasional hedging.

What this strategy does, in plain language: 1) The default position is a leveraged bet on tech (QLD, which seeks to double the move of QQQ). 2) It monitors QQQ’s RSI (a score from 0 to 100 that measures how strong recent moves have been). If QQQ looks extreme on the upside (RSI very high, e.g., around 80 or more), the strategy moves into hedges like UVXY or SQQQ to try to protect against a sharp pullback (these are instruments that go up when volatility or market declines rise). 3) If QQQ looks very weak (RSI very low, e.g., around 35 or lower), the strategy shifts into very aggressive long bets on tech (TQQQ and TECL) to capture potential quick rebounds or upswings in technology shares. 4) If the market has been moving sideways for a long time (no clear up or down trend), the system leans toward holding the plain QQQ itself or a neutral exposure rather than the extra leverage. 5) If QQQ is high but the market remains range-bound, the strategy pivots to BIL (short-term Treasuries) to preserve capital rather than chasing more risk. 6) There is no routine calendar rebalancing; changes happen when the rule-set signals a regime shift. The “corridor width” parameter (0.1) suggests only small tolerance before a regime switch. The decision logic also involves checking QQQ’s price against moving-average levels (e.g., 125–160 day averages) to confirm a trend or reversal. 7) In short, this is a regime-switching, RSI-driven system that tries to ride momentum with leverage when it looks favorable, hedge when risk looks elevated, and preserve capital when markets are choppy or overextended. It trades only a small handful of assets, so it’s concentrated in tech exposure and volatility hedges rather than a broad diversified mix. Important caveats: using 2x and 3x ETFs can magnify losses just as quickly as gains; RSI alone can misread trends in volatile markets; and the model’s many nested rules can produce frequent switches if market conditions wobble around threshold levels.

RSI-driven regime-switching strategy bets on leveraged tech with hedges and BIL for safety. Out-of-sample: Sharpe ~1.19 vs SPY ~1.02; annualized return ~59% vs ~18%; Calmar ~1.88; strong risk-adjusted upside with higher drawdowns in downturns.