A Long-Only RSI Strategy with Fixed DCA Orders and Take Profit

Summary

This strategy script describes a long-only averaging plan for the POL perpetual market. It opens a base position when the four-hour RSI falls below an oversold threshold, then places up to five additional buys at fixed percentage declines from the original entry price. Each successive order is larger, increasing the position’s exposure as price falls. The position closes when price reaches a fixed profit target above its current average entry.

The script specifies configurable order sizes, spacing, date limits, transaction costs, slippage, and webhook alerts, and reports the maximum planned capital deployment for its default sizing. It has no stop loss or trailing exit, so the bounded order ladder limits further additions but does not cap losses if price keeps falling. The supplied material contains code and parameter descriptions, not independent backtest results or evidence that the approach is profitable; sizing and execution assumptions therefore need separate evaluation.

Key ideas

• A four-hour RSI oversold reading triggers the initial long entry.
• Five averaging orders are spaced at fixed declines from the base entry, with increasing sizes.
• The take-profit level is calculated from the position’s average entry price.
• The strategy has no stop loss, leaving downside exposure after the final averaging order.
• The script offers adjustable sizing and execution assumptions but supplies no independent performance evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.