DSL-Tight — Opinionated Stop-Loss Preset

A tighter, more opinionated variant of DSL for aggressive profit protection. Same ROE-based engine as DSL v4 (PnL / margin × 100) — all tier triggers automatically account for leverage.

Key difference from DSL v4: DSL v4 is the configurable engine with maximum flexibility. DSL-Tight is the “just works” preset — fewer knobs, tighter defaults, per-tier breach counts, stagnation exits, and auto-calculated floors.

Core Concept

All thresholds defined in ROE. The script auto-converts to price levels:

price_floor = entry × (1 ± lockPct / 100 / leverage)

How It Works

Phase 1 — Absolute Floor (Stop-Loss)

• 5% ROE trailing floor
• 3 consecutive breaches required
• Auto-calculated absolute floor from entry/leverage/retrace

Phase 2 — Tiered Profit Lock

4 tiers that lock an increasing percentage of the high-water move:

Per-tier breach counts tighten as profit grows — at Tier 4 (75% ROE), a single breach closes immediately.

Stagnation Take-Profit

Auto-closes if:

• ROE ≥ 8% AND
• High-water mark hasn’t improved for 1 hour

Catches winners that stall — takes the profit rather than waiting for a reversal.

Breach Mechanics

• Hard decay only (breach count resets to 0 on recovery)
• Per-tier breach requirements (3→2→2→1) replace the global Phase 1/Phase 2 split
• Floor is always: max(tier_floor, trailing_floor) for LONG, min() for SHORT

State File Schema

{
  "active": true,
  "asset": "HYPE",
  "direction": "LONG",
  "leverage": 10,
  "entryPrice": 28.87,
  "size": 1890.28,
  "wallet": "0xYourStrategyWalletAddress",
  "strategyId": "uuid",
  "phase": 1,
  "phase1": {
    "retraceThreshold": 0.05,
    "consecutiveBreachesRequired": 3
  },
  "phase2TriggerTier": 0,
  "phase2": {
    "retraceThreshold": 0.015,
    "consecutiveBreachesRequired": 3
  },
  "tiers": [
    {"triggerPct": 10, "lockPct": 5, "retrace": 0.015, "breachesRequired": 3},
    {"triggerPct": 20, "lockPct": 13, "retrace": 0.012, "breachesRequired": 2},
    {"triggerPct": 40, "lockPct": 30, "retrace": 0.010, "breachesRequired": 2},
    {"triggerPct": 75, "lockPct": 64, "retrace": 0.006, "breachesRequired": 1}
  ],
  "breachDecay": "hard",
  "stagnation": {
    "enabled": true,
    "minRoePct": 8,
    "maxStaleSec": 3600
  },
  "currentTierIndex": -1,
  "tierFloorPrice": null,
  "highWaterPrice": 28.87,
  "floorPrice": null,
  "currentBreachCount": 0,
  "createdAt": "2026-02-23T10:00:00Z"
}

Field Reference

Cron Setup

Same as DSL v4:

DSL_STATE_FILE=/data/workspace/dsl-tight-HYPE.json python3 scripts/dsl-v4.py

Every 3 minutes per position. Script location: scripts/dsl-v4.py (same script as DSL v4).

Key Safety Features

• CLOSE_NO_POSITION graceful handling — if position already closed, deactivate cleanly
• Auto-calculated floors eliminate manual math errors
• Per-tier breach tightening means large profits get maximum protection
• Stagnation TP prevents stalled winners from reversing

Example Walkthrough

10x LONG entry at $28.87:

1. Phase 1: Floor auto-calculated ~$28.73. Price rises, HW tracks.
2. Tier 1 at 10% ROE ($29.16): Floor locks at ~$29.01, 3 breaches to close.
3. Tier 2 at 20% ROE ($29.45): Floor locks at ~$29.24, now only 2 breaches.
4. Stagnation: Price stalls at 12% ROE for 65 min → auto-closed with profit.
5. Tier 4 at 75% ROE ($31.04): Floor at ~$30.71. Single breach = instant close.

Script Location

Uses the same dsl-v4.py script from the dsl-dynamic-stop-loss skill. Install that skill first, then use this state file template for the tighter preset.