It works out that the public Dip Buyer strategy "Pain in neck with xdev" does a tremendous job on buying dips. However, it is apparent that the current implementation suffers from dips for which the corrections are very large. Problem, is you never know how long a dip will be.

Therefore I think a possible way to improve the strategy is to:

1). Somehow, only start going long during the dip but only when the percent change is lower than some value;

2). During the recovery phase after the dip, wait a little longer for the price to increase. Many of the long buys appear that they could be exited a while later, so I am thinking that exits could occur maybe when the Schaff trend cycle is coming down through ~90 or so?

3). Either the above, or use SMAs to pre-determine that the underlying upward market momentum is low or that there is congestion and the market is moving sideways.

What comes to mind is maybe a long-period ADX(50?), which if less than 20 don't go long.

It begs attention to focus on the recovery side of the buy when the long are exited, so maybe there is a way to delay exiting the longs for a little while longer, and then get out?

Also, what indicator in TASC can tell when a correction is slowing down? Maybe a type of stochastic?