From 51f07fa1eb8e137aeda5d637ea1d5a177b877468 Mon Sep 17 00:00:00 2001
From: mindesbunister <github_service@egonetix.de>
Date: Sun, 7 Dec 2025 13:01:56 +0100
Subject: [PATCH] docs: Document smart validation 30-minute timeout extension
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Added comprehensive documentation for Dec 7, 2025 timeout change:
- Extended from 10 → 30 minutes based on blocked signal analysis
- Data: 3/10 signals hit TP1, most moves after 15-30 min
- Example: Quality 70 + ADX 29.7 hit TP1 at 0.41% after 30+ min
- Trade-off: -0.4% drawdown limit protects against extended losses
- Deployment: c9c987a commit, verified operational

Updated Architecture Overview > Smart Validation Queue section with
full rationale, configuration details, and production status.
---
 .github/copilot-instructions.md | 11 +++++++++++
 1 file changed, 11 insertions(+)

diff --git a/.github/copilot-instructions.md b/.github/copilot-instructions.md
index 4200315..88dd905 100644
--- a/.github/copilot-instructions.md
+++ b/.github/copilot-instructions.md
@@ -1040,6 +1040,17 @@ Frequency penalties (overtrading / flip-flop / alternating) now ignore 1-minute
 - Penalty for recent losing trades, bonus for winning streaks
 - **Note:** Analytics check is advisory only - manual trades execute even if rejected by analytics
 
+**Smart Validation Queue (Dec 7, 2025 - TIMEOUT EXTENDED):**
+- **Purpose:** Monitor blocked signals for 30 minutes to confirm price moves
+- **Timeout:** 30 minutes (extended from 10 min based on data analysis)
+- **Rationale:** Analysis of 10 blocked signals showed 30% hit TP1, most moves develop after 15-30 minutes
+- **Example:** Quality 70 signal (ADX 29.7) hit TP1 at 0.41% after 30+ minutes ($22 profit missed with 10-min timeout)
+- **Protection:** -0.4% drawdown limit prevents holding bad signals too long
+- **Configuration:** `entryWindowMinutes: 30` in smart-validation-queue.ts
+- **Trade-off:** Slightly longer hold on losing signals, but data shows most profitable moves take 15-30 min to develop
+- **Implementation:** lib/trading/smart-validation-queue.ts line 105
+- **Status:** ✅ DEPLOYED Dec 7, 2025 10:30 CET (commit c9c987a)
+
 ## 🧪 Test Infrastructure (Dec 5, 2025 - PR #2)
 
 **Purpose:** Comprehensive integration test suite for Position Manager - the 1,938-line core trading logic managing real capital.