RSI-Gated Crypto DCA with Fixed Averaging Levels and Take Profit

Summary

This long-only dollar-cost-averaging strategy for a crypto perpetual contract uses a four-hour RSI reading below 28 to arm a base entry. If price declines from that entry, it places as many as five additional orders at fixed percentage offsets, with order sizes increasing by a factor of 1.8 at each rung. A fixed take-profit target is set above the average entry price. The published configuration specifies a 3% target, a $500 base order, and a maximum deployed amount of about $20,633 if every averaging order fills.

The ladder bounds further additions after its fifth level, but the strategy has no stop loss or trailing exit. A full sequence of fills can therefore leave the position exposed to further declines, and the increasing order sizes concentrate more capital at lower prices. The document describes settings for a particular trading pair and four-hour chart, but the provided source is truncated before the full order and exit logic appears. It supplies no backtest or live performance evidence.

Key ideas

• A four-hour RSI below 28 arms a long entry in the described configuration.
• Five fixed-deviation averaging orders increase in size by a factor of 1.8 per rung.
• The strategy targets a fixed profit above the position’s average entry and uses no stop loss or trailing exit.
• Exposure is capped by the stated averaging ladder, though losses can continue if price falls beyond it.
• The source is incomplete and gives no performance results.

Tags

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