RSI-Gated Long DCA with Averaging Orders

Summary

This long-only dollar-cost-averaging framework uses a lower-timeframe RSI filter for both initial entries and additional buys. A base order is triggered when RSI crosses below 30; each safety order requires RSI below 25. The design allows four averaging orders by default, with order size and spacing increasing through multipliers, and closes the position at a fixed take-profit level of 3% above average entry. The defaults are described as calibrated for DOGE/USDT on a two-hour chart, and the script specifies fees, slippage, and a date-limited backtest window.

The document states that there is no stop loss and presents bounded order sizing as a cap on deployed capital, but that does not eliminate market or exchange risks. The shown excerpt gives no backtest outcomes, so the calibration claim cannot be assessed from the evidence provided. RSI filters may still allow averaging into sustained declines, while a fixed profit target and ladder settings can be sensitive to volatility, execution costs, and market regime. The strategy is an implementation framework, not evidence of a verified edge.

Key ideas

• The base long order is triggered when lower-timeframe RSI crosses below 30.
• Additional averaging orders require RSI below 25 and use an increasing size and spacing ladder.
• The default configuration allows four averaging orders and sets a fixed 3% take-profit above average entry.
• The described design has no stop loss, so bounded order sizing does not remove losses from adverse price moves.
• The document provides configuration details but no reported backtest performance to validate its calibration.

Tags

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