Operating Manual

This Operating Manual describes how Risontis operates, how trading decisions are made, and how configuration parameters influence system behavior. It is intended to help users understand why trades are executed or rejected, not to provide optimization instructions or trading advice.
The manual assumes basic familiarity with technical indicators and systematic trading concepts.

Prerequisites

This manual assumes that Risontis has been installed and activated.
If you have not yet completed installation or activation, refer to the Installation Guide and Activation Guide before continuing.

Multi-Tier Timeframe Architecture

Risontis operates explicitly on two timeframes:

4h timeframe: defines the higher-timeframe market regime and trend validity.
5m timeframe: used for precise entry timing and execution.

If the 4h trend is invalid for an asset, no trades are allowed on the 5m timeframe, regardless of short-term signals. This structure enforces directional alignment and prevents short-term trading against the prevailing market regime.

1. Decision Model Overview

Decision flow:
4h Trend Validation
→ 5m Signal Evaluation (Trend and Bollinger)
→ Filter Chain
→ Execution Decision

1.1 4h Trend Validation

For each asset, the system evaluates the 4h trend using a synthesized higher-timeframe structure derived from underlying market data. The 4h trend acts as an absolute rejection gate: if its conditions are not met, any 5m signal is rejected and cannot result in execution.

1.2 5m Signal Evaluation

On the 5m timeframe, two independent signal channels are evaluated for each asset.
Signals indicate potential opportunity but do not guarantee execution.

1.2.1 Signal Channel A: Trend Signal

A Trend Buy signal on the 5m timeframe requires all four conditions to be true:

RSI is below the configured lower threshold.
The MACD line is above the MACD signal line.
Price is above the short-term EMA.
Price is above the higher-timeframe trend EMA.

This signal represents a pullback entry within an already-validated trend.

1.2.2 Signal Channel B: Bollinger Timing

The Bollinger channel provides an alternative timing mechanism, not a separate strategy.

Uses mid-band pullbacks only, requiring a price retracement of a configurable percentage relative to the Bollinger mid-band.
Requires a minimum 5m ADX threshold to confirm momentum.

1.3 Filters and Execution Gates

Before any trade can be executed, the system applies a strict AND-based filter chain that can block trades even when a valid signal exists.
Filter categories include:

Volatility and noise filters (volume-authoritative, ATR-scaled).
Fixed and adaptive cooldowns.
Stop-out cooldowns after losses.
Exposure caps and concurrency limits.
Trading hours restrictions.
Capital and position sizing viability.
Daily PnL loss limits.
Daily profit hold thresholds.
Minimum expected gain requirements.

A blocked trade is a correct and intentional outcome.

Configuration

System-Level Configuration (Settings)

System-level settings define the parameters that control risk, capital deployment, and regime behavior across the entire system. These settings apply uniformly to all assets and are not intended for fine-grained tuning. Conceptually, system-level tuning defines regime and risk.

Risk Profiles (System-Level Presets)

Risk profiles define predefined system-level risk frameworks. Each profile applies a fixed set of system-level parameters that determine overall risk posture and regime behavior.
Available profiles:

Defensive
Balanced
Growth
Dynamic
Custom (Advanced)

Profiles are fixed and immutable. Only Custom (Advanced) allows modification of system-level parameters. Asset-level tuning remains available under all profiles.

Asset-Level Configuration (Assets)

When a parameter is defined in the Assets sheet, that value is used instead of the default value defined in the Settings sheet.
Conceptually, asset-level tuning defines timing and sensitivity.

Tuning

For detailed explanations of parameter behavior, defaults, and boundaries, see the Tuning Guide.

Quick Tuning Cheat Sheet (Directional Overview)

Sensitivity & Timing
↑ fewer signals, higher quality
↓ more signals, more noise

Trend Strictness
↑ later entries, stronger trends
↓ earlier entries, weaker trends

Volatility & Noise Filters
↑ cleaner markets, fewer trades
↓ noisier markets, more trades

Position & Risk Impact
↑ larger positions, higher per-trade impact
↓ smaller positions, lower per-trade impact

Execution Pacing
↑ slower re-entry, less clustering
↓ faster re-entry, more clustering

Profit Protection (Ratchets)
↑ earlier tightening, faster protection
↓ later tightening, more room for trends

Observing System Behavior

Risontis exposes its internal decision state through several observation surfaces.
Together, these views explain why trades are executed, delayed, or rejected.

Control Center

The Control Center provides a high-level snapshot of system status. It shows whether trading is active, whether system state is healthy, and how capital and exposure are currently allocated. This view is intended for quick status checks rather than detailed analysis.

Full Monitor

The Full Monitor shows the per-asset state of key decision components. It reflects whether higher-timeframe trend conditions are valid and whether short-term conditions are aligned.
Indicators such as EMA and ADX are shown as directional states, not raw signals, indicating whether conditions are supportive or blocking.

System Log

The System Log records evaluated values and decision outcomes during execution. It is the authoritative source for understanding why a specific trade was accepted or rejected. When behavior is unexpected, the System Log provides the exact gate or filter that caused the decision.

Audit_Stats

Audit_Stats aggregates rejection reasons over time. It highlights which gates or filters are most frequently blocking trades. This view is useful for identifying structural constraints rather than individual events. These observation surfaces are complementary. The Control Center answers “what is the current state,” the Full Monitor answers “which assets are eligible,” and the System Log and Audit_Stats answer “why decisions occurred.”

Troubleshooting: No Trades

Use this checklist in order:

Trading Enabled is on.
4h trend gate is passing.
A valid Trend or Bollinger Timing signal exists.
Filters are not rejecting the signal.
Cooldowns are inactive.
Exposure limits are not reached.
Daily PnL gates are not active.
Capital sizing is viable.

Glossary and Learning Resources

ADX (Average Directional Index)
Trend strength indicator that measures directional intensity, not direction.
Used to confirm whether market conditions are suitable for trend-based trading.

ATR (Average True Range)
Volatility indicator that measures average price range.
Used for volatility gating, stop sizing, and adaptive cooldowns.

Bollinger Bands
Volatility bands around a moving average based on standard deviation.
Used for mid-band pullback timing within a valid trend.

Concurrent Trades
Maximum number of simultaneous positions allowed per asset.
Used to limit overlapping risk.

Cooldown
Mandatory waiting period between trade entries.
Used to prevent overtrading and reduce churn.

EMA (Exponential Moving Average)
Moving average that weights recent prices more heavily.
Used to define trend direction and short-term price alignment.

Expected Gain
Minimum required reward relative to risk for a trade to be eligible.
Used to filter low-quality opportunities.

Exposure Cap
Maximum allowed capital allocation per asset group or system-wide.
Used to prevent over-concentration.

MACD (Moving Average Convergence Divergence)
Momentum indicator based on the relationship between two exponential moving averages.
Used to confirm momentum alignment during pullbacks.

RSI (Relative Strength Index)
Momentum indicator that measures the speed and magnitude of recent price movements.
Used to detect pullbacks within an existing trend.

Short EMA (5m)
Shorter-period EMA calculated on the 5m timeframe.
Used to confirm short-term price alignment during entries.

Stop-Out Cooldown
Extended cooldown applied after a stopped-out trade.
Used to reduce re-entry during adverse conditions.

Trading Hours
Configured time window during which new trade entries are allowed.
Used to restrict execution to defined market hours.

Trend Distance
Minimum required percentage distance between price and the 4h trend EMA.
Used to confirm that price is sufficiently positioned within the prevailing trend.

Trend EMA (4h)
Longer-period EMA calculated on the 4h timeframe.
Used as the primary trend reference and gating mechanism.

Volume Moving Average
Average of traded volume over a defined period.
Used as the authoritative noise filter for trade qualification.