Section 01
What is CIPHER-1?
CIPHER-1 is the intelligence system integrated into the HyperSignal Reactor indicator. It is the first official Strategy Theme built on the HSR Default configuration — a fully automated scalp setup designed for the 30-minute BTCUSD chart on Kraken Spot.
CIPHER-1 runs a complete 10-alert signal stack: 6 entry conditions and 4 exit conditions, spanning lower Bollinger Band bounces, midline breakouts, confirmed trend signals, and hard stop loss triggers. Every entry is sized by market context, and every exit is handled automatically without manual intervention.
CIPHER-1 is currently live on BTCUSD 30M and also being tested on SUIUSD 15M — demonstrating adaptability across timeframes and assets. The core logic remains the same; only position sizing adjusts to match the instrument's volatility profile.
Backtested results (Jan 2025 – Jul 2026, 38 trades on BTCUSD 30M) do not guarantee future performance. Commission (0.1% per side), slippage, and liquidity gaps can affect live results.
Section 02
Signal Logic — Full 10-Alert Stack
CIPHER-1 coordinates six distinct entry signals and four exit signals. Each entry type carries its own position sizing based on confidence level — stronger confluence = larger size.
CIPHER-1
7 Engines
Intelligence layer
→
Entry Signals
6 Conditions
Sized by confidence
→
Exit Signals
4 Conditions
Auto close position
→
Stop Loss
1.5% Hard Floor
Emergency close
Entry Signals
| # | Signal | Condition | 4H Filter | Size |
|---|---|---|---|---|
| 1 | Hyper Buy | Price crosses above lower BB band | Any | 100% |
| 2 | Confirmed Buy | All 7 confirmation engines aligned bullish | Any | 100% |
| 3 | S1 Confirmed | Lower BB pivot (HL/LL) + volume confirmation | ✅ Bullish | 100% |
| 4 | S1 Warning | Same lower BB pivot, 4H trend is bearish | ⚠ Bearish | 65% |
| 5 | S3 Midline Conf | Price crosses BB midline + EMA stack aligned | ✅ Bullish | 95% |
| 6 | S3 Midline Warning | Same midline breakout, 4H trend is bearish | ⚠ Bearish | 65% |
Exit Signals
| # | Signal | Condition | Action |
|---|---|---|---|
| 7 | S2 Midline Exit | Volume crossover + price at BB midline (partial) | SELL 22% |
| 8 | Hyper Sell | Price crosses back below upper BB band | SELL 100% |
| 9 | Confirmed Sell | All 7 engines flip bearish while in position | SELL 100% |
| 10 | Stop Loss | Price drops 1.5% below entry price | SELL 100% |
S3 Midline re-entries are the most frequently missed signal. After an S2 partial exit, if price breaks back above the BB midline with EMA alignment (S3), CIPHER-1 re-enters the position automatically at 95% or 65% size depending on 4H context.
Section 03
All Settings — Exact Values
Set these exactly in the HyperSignal Reactor indicator settings panel for CIPHER-1.
Strategy Mode
Bull StrategyON ✅
Bear StrategyOFF ❌
Enable Stop LossON ✅
Stop Loss %1.5%
Enable Take ProfitOFF ❌
Show SL LabelON ✅
Backtest Optimizer
Entry ModeS1 Only
Exit ModeHyper Sell Only
Buy Size %100%
Sell Size %100%
Initial Capital$10,000
Use Stop LossON ✅
Stop Loss %1.5%
Theme
ThemeHyperSignal (Default)
Strategy ThemeHSR Default
IntelligenceCIPHER-1
Scalp Signals
Enable Scalp SignalsON ✅
HTF Timeframe240 (4H)
Show S1 LabelsON ✅
Show S2 LabelsON ✅
Show S3 LabelsON ✅
Bollinger Bands
BB Length20
BB Multiplier2.0
SourceClose
Chart
SymbolBTCUSD
Timeframe30 Min
ExchangeKraken Spot
Also testingSUIUSD 15M
After entering these settings, verify the HSR Optimizer dashboard shows Entry Mode: S1 Only and Strategy Theme: HSR Default. Show S3 Labels must be ON to see midline re-entry signals on the chart.
Section 04
Performance Breakdown
Backtested on BTCUSD 30M, Kraken Spot, January 2025 – July 2026. $10,000 initial capital, 0.1% commission per side, 1.5% stop loss enabled.
2.26
Profit Factor
For every $1 lost, $2.26 made
1:3.46
Risk : Reward
Avg Win $80 · Avg Loss $23
+$669
Net Profit
On $10K capital (+6.69%)
39.5%
Win Rate
15 wins, 23 losses from 38 trades
$446
Max Drawdown
4.24% of capital — controlled
38
Total Trades
~2 trades/week, low churn
A 39.5% win rate is normal and expected. CIPHER-1 is profitable because winners average 3.46× the size of losers — not because it wins often. Do not adjust settings after 2–3 losses. Follow the system.
Section 05
Alert Configuration — All 10 Alerts
CIPHER-1 requires exactly 10 alerts: 6 entry alerts and 4 exit alerts. All alerts must point to your SIGNUM bot webhook and be set to Once Per Bar Close.
All 10 alerts must use Condition: Once Per Bar Close and point to your SIGNUM webhook URL. Using "Once Per Bar" (not close) will cause duplicate signals and double entries.
▲ ENTRY ALERTS (6)
ALERT 01
HYPER BUY
Condition
Hyper Buy Alert
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"}
When it fires
Price crosses above lower Bollinger Band. High-confidence reversal signal. Full size entry.
ALERT 02
CONFIRMED BUY
Condition
Confirmed Buy Alert
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"}
When it fires
All 7 confirmation engines aligned bullish simultaneously. Strongest entry signal in the stack.
ALERT 03
S1 CONFIRMED — Lower BB Bounce
Condition
Scalp S1 — Lower BB Bounce (4H Confirmed)
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"}
When it fires
HL or LL pivot near lower BB + volume spike. 4H trend is bullish. Full size entry.
ALERT 04
S1 WARNING BUY — Reduced Size
Condition
Scalp S1 — Lower BB Bounce (4H Warning)
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"65%","position_size":"1"}
When it fires
Same lower BB bounce but 4H trend is bearish. Reduced size to manage risk against the higher timeframe.
ALERT 05
S3 MIDLINE CONF — Re-Entry
Condition
Scalp S3 — Midline Breakout (4H Confirmed)
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"95%","position_size":"1"}
When it fires
Price crosses above BB midline + EMA stack aligned. 4H bullish. Re-entry after S2 partial exit or new momentum leg.
ALERT 06
S3 MIDLINE WARNING — Reduced Re-Entry
Condition
Scalp S3 — Midline Breakout (4H Warning)
Frequency
Once Per Bar Close
Message Body
{"action":"buy","ticker":"{{ticker}}","order_size":"65%","position_size":"1"}
When it fires
Midline breakout with 4H bearish. Still valid re-entry but reduced size due to higher timeframe headwinds.
▼ EXIT ALERTS (4)
ALERT 07
S2 MIDLINE EXIT — Partial
Condition
Scalp S2 — Midline Exit
Frequency
Once Per Bar Close
Message Body
{"action":"sell","ticker":"{{ticker}}","order_size":"22%","position_size":"0"}
When it fires
Volume spike at BB midline. Partial 22% exit to lock in profit. Remaining position stays open for continuation.
ALERT 08
HYPER SELL — Full Exit
Condition
Hyper Sell Alert
Frequency
Once Per Bar Close
Message Body
{"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"}
When it fires
Price crosses back below upper BB. Extended move has reversed. Full position close.
ALERT 09
CONFIRMED SELL — Full Exit
Condition
Confirmed Sell Alert
Frequency
Once Per Bar Close
Message Body
{"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"}
When it fires
All 7 confirmation engines flip bearish while in a position. Strong trend reversal confirmed. Full exit.
ALERT 10
STOP LOSS TRIGGERED
Condition
Stop Loss Triggered
Frequency
Once Per Bar Close
Message Body
{"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"}
When it fires
Price drops 1.5% below entry. Hard floor emergency close. Non-negotiable — never disable this alert.
Section 06
Quick Reference — All 10 Payloads
Copy these message bodies exactly into each TradingView alert. Replace {{ticker}} stays as-is — TradingView fills it automatically.
| # | Alert Name (Condition) | Dir | Size | Payload |
|---|---|---|---|---|
| 1 | Hyper Buy Alert | BUY | 100% | {"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"} |
| 2 | Confirmed Buy Alert | BUY | 100% | {"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"} |
| 3 | Scalp S1 — Lower BB Bounce (4H Confirmed) | BUY | 100% | {"action":"buy","ticker":"{{ticker}}","order_size":"100%","position_size":"1"} |
| 4 | Scalp S1 — Lower BB Bounce (4H Warning) | BUY | 65% | {"action":"buy","ticker":"{{ticker}}","order_size":"65%","position_size":"1"} |
| 5 | Scalp S3 — Midline Breakout (4H Confirmed) | BUY | 95% | {"action":"buy","ticker":"{{ticker}}","order_size":"95%","position_size":"1"} |
| 6 | Scalp S3 — Midline Breakout (4H Warning) | BUY | 65% | {"action":"buy","ticker":"{{ticker}}","order_size":"65%","position_size":"1"} |
| 7 | Scalp S2 — Midline Exit | SELL | 22% | {"action":"sell","ticker":"{{ticker}}","order_size":"22%","position_size":"0"} |
| 8 | Hyper Sell Alert | SELL | 100% | {"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"} |
| 9 | Confirmed Sell Alert | SELL | 100% | {"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"} |
| 10 | Stop Loss Triggered | SELL | 100% | {"action":"sell","ticker":"{{ticker}}","order_size":"100%","position_size":"0"} |
Section 07
Pre-Trade Checklist
Run through this before enabling alerts each session.
- Chart is set to BTCUSD on Kraken Spot, 30-minute timeframe (or SUIUSD 15M for secondary test)
- HyperSignal Reactor indicator is loaded and HSR Optimizer shows Entry Mode: S1 Only
- Strategy Theme selector shows HSR Default — CIPHER-1 intelligence active
- Stop Loss is enabled at 1.5% in Strategy Mode settings
- Show S1, S2, and S3 Labels are all ON in Scalp Signals settings
- All 10 alerts are active: 6 entries + S2 partial exit + Hyper Sell + Confirmed Sell + Stop Loss
- SIGNUM bot is running and connected to Kraken API with Order permissions
- Webhook URL is correct and all alerts use Once Per Bar Close frequency
- Verify no alert has a stale timestamp from a "Once" trigger — recreate if needed
- Check HSR Optimizer dashboard — Profit Factor should show ≥ 2.0 for this config
Section 08
Risk Management Rules
These rules protect capital during adverse market conditions. Do not override them.
- 1.5% Stop Loss is mandatory — Never disable SL in live trading. The backtested edge depends on it.
- S2 partial exit is 22% — This is intentional. It locks in partial profit while keeping exposure open for the S3 re-entry or continuation.
- Never override the bot mid-trade — Manual closes break the system’s statistical edge.
- Accept losing streaks — A 39.5% win rate means 6 consecutive losses can happen. This is expected, not broken.
- Do not trade during major economic events — Disable alerts during FOMC, CPI, and major Fed speeches.
- Max 2% total portfolio risk per day — If SL hits twice in a session, stop for the day.
- S1 Warning and S3 Warning entries are optional — For maximum conservatism, disable the 4H Warning alerts and trade confirmed signals only.
- Review the Optimizer monthly — If Profit Factor drops below 1.5, pause and reassess.
CIPHER-1 and HyperSignal Reactor are tools, not financial advisors. Past backtest performance does not guarantee future results. Always trade with capital you can afford to lose.