RSI-Triggered SOL Dollar-Cost Averaging With a Geometric Add Ladder
Summary
This long-only SOL strategy arms a base purchase when a higher-timeframe RSI falls below a configurable threshold. If price declines further, it adds up to a configured number of averaging orders at progressively wider percentage deviations from the base entry, while order sizes grow geometrically. The exit is a fixed take-profit level above the position’s average entry. The script includes adjustable order sizing, RSI settings, date filters, alerts for a bot, and chart displays for the ladder and position levels.
The design explicitly has no stop loss or trailing exit. A bounded number of adds limits the planned ladder size, but does not cap losses or guarantee an exit if price keeps falling; capital can remain tied up in a losing position. The document gives parameter defaults and backtest settings but no reported performance results or evidence of robustness. Costs, execution assumptions, market regime, and the selected test window can materially affect outcomes, so the configuration should be treated as a testable example rather than a validated strategy.
Key ideas
- A higher-timeframe RSI threshold arms the initial long entry.
- Additional buys trigger at cumulative price deviations that widen geometrically.
- Averaging order sizes increase by a configurable multiplier, subject to a maximum order count.
- The strategy exits at a fixed profit target based on average entry price.
- With no stop loss, a bounded ladder limits planned additions but does not bound downside risk.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.