Rotate to staples/utilities/healthcare when recession signals fire
Defensive Rotation
| Symbol | Action | Vol | Stop Loss | Take Profit | Size | Links |
|---|---|---|---|---|---|---|
| XLP | BUY | 13% | 8.2% below entry | 3.0% above entry | 15.4% | TVYH |
| XLU | BUY | 16% | 9.9% below entry | 3.3% above entry | 12.7% | TVYH |
| XLV | BUY | 15% | 9.7% below entry | 3.2% above entry | 13.0% | TVYH |
| SPY | BUY | 17% | 10.8% below entry | 3.6% above entry | 11.7% | TVYH |
| QQQ | BUY | 22% | 13.7% below entry | 4.6% above entry | 9.2% | TVYH |
| XLK | BUY | 26% | 16.5% below entry | 5.5% above entry | 7.6% | TVYH |
This strategy is suitable for passive investing. - Take profit: Rebalance when any position exceeds 2x its target weight. Trim back to target, redeploy to underweight positions. - Stop loss: NO price-based stop loss. This strategy recovered from -28% drawdown to return 212% long-term. - Exit rule: Reduce when markets recover strongly. Never fully exit — keep minimum 5% as insurance.