Binary, trend-following swing between SPY (stocks) and SHY (bonds) using two trend signals: SPY above its 85-day MA, or 8-day EMA above 200-day MA. If either is true, stay in SPY; else in SHY. No regular rebalancing.

What it does in plain terms: - You have two assets: SPY (stocks) and SHY (short-term bonds). - The system checks SPY’s trend in two ways: (1) Is the current SPY price above its 85-day simple moving average? (2) Is SPY’s 8-day exponential moving average higher than its 200-day moving average? - If SPY shows strength on either test, you invest 100% in SPY. If SPY looks weak on both tests, you shift 100% into SHY. - There is no regular automatic rebalancing; the switch happens when the rule says so. The 0.05 corridor width parameter is a tuning detail, but with no rebalance it won’t drive actions here. - The goal is to ride the stock market when it’s in an uptrend and move to safer bonds when trends weaken, reducing drawdowns but potentially sacrificing upside if signals lag or false positives occur.

Binary SPY/SHY trend-following: stay in stocks on uptrends, shift to bonds on weakness. Out-of-sample, higher risk-adjusted return (Sharpe ~1.49 vs 1.22), smaller drawdowns (8.4% vs 18.8%), Calmar ~2.09, ~17.6% annualized vs S&P 20.6%.