created : 2 years ago| | live deployment: 40
created : 2 years ago | live deployment: 40
Directional Option Selling BNF With Hedge V4
Strategy description
Bank Nifty Option Selling Strategy – Directional with Hedge
- This Bank Nifty Option Selling Strategy takes trades according to market direction. If the market is Bullish, it initiates a Short PE position. If the market is Bearish, it initiates a Short CE position. Being a positional strategy, it includes a hedge by buying one OTM option for each short trade — providing both margin benefit and overnight protection.
- The strike selection for both short and hedge legs is determined dynamically based on the LTP (Last Traded Price). The strategy employs a fixed percentage-based Target and a fixed percentage-based Stop Loss for effective risk management. All trades are signal-based — there are no fixed entry times.
Strategy Details
| Parameter | Details |
|---|---|
| Shared Code | 675d3582-6e39-44db-b1d9-44fb83b45ab5 |
| Capital Required | ₹60,000 (for 1 Multiplier) |
| Instrument | BANKNIFTY |
| Type | Positional with Hedge |
| Avg Trades per Day | 4–5 (Buy + Sell) |
Capital Update
Note: The capital requirement for Directional Option Selling BNF With Hedge V4 has been increased from ₹60,000 to ₹80,000 as the strategy surpassed its historical drawdown percentage (DD%).
Disclaimer
Patni Capital is not a SEBI-registered investment or financial advisor. Do not deploy any strategy based solely on past performance. All P&L updates represent live auto P&L for informational purposes only. It is strongly recommended to consult a certified investment advisor before live deployment. Practicing via paper trading for at least one month is advised to gain familiarity with the strategy. No trading strategy guarantees short-term wealth generation — success comes with patience and discipline.
Charges
Fee: ₹6.75 + 18% GST, applicable on gross profit. This results in an effective charge of ₹7.96, approximately 7.96% of the gross profit.
