In short, I had to come up with a better logic for hedging than anything before. (I had both my D-Day Hedger and the DDI Turn routines open positions in the wrong direction the other day while I was trying to trade in the proper direction – and all of this happened right after the RSI2 Hedger wasn’t supposed to open a hedge.) Since my RSI2 mania hasn’t been subsiding for about an eternity, I decided to use the pig in the attic and the pig in the basement for a change of direction. Interestingly, the reversals down seem to overwhelmingly happen in the Bull Zone 1 – when the bulls cover and tip the scale – and the reversals up, you can guess after this. A pig would get called off upon a re-visit of its block, and in general the price has the first 30 minutes available for it to leave for good.
Among the filters I am looking for a wick that is larger than 5.5 pips and an RSI2 sharpie sequence.
The black, filled triangles are the primary entries, the black triangle outlines are the secondary entries, and the white admiral cross marks the exit condition. To better understand, primary means quality = put plenty of the fire, the secondary means to throw a log.
As for an additional deciding factor, I started plotting again a 12-sample choppiness oscillator – I intend to measure bull/bear strength with it.
I do realize that I may need to add further filters in the future, but this is not at all a bad start. See for yourself!