Strategy description

Strategy: NIFTY MAGIC NEW

Overview

NIFTY MAGIC NEW is a trading strategy for NIFTY weekly options. It operates based on specific conditions, with a focus on option selling and hedging for risk management.

• Entry Time: After 9:15 AM, based on condition satisfaction (not time-based).
• Exit Time: 3:20 PM or earlier if conditions are met.
• Capital Requirement: ₹50,000 per multiplier (X).
• Max Daily Loss: ₹1,500 per multiplier (X).
• Drawdown Consideration: Estimated at around 6%, subject to market fluctuations.
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Stop Loss and Trailing Stop Loss

• Stop Loss: ₹750 per multiplier.
• Trailing Stop Loss: ₹750 per multiplier.
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User Responsibility

• Capital Buffer: Maintaining an additional 5–10% over the required capital is recommended to manage fluctuations, particularly on high VIX (volatility index) days. Proper token generation between 8:30 AM to 9:00 AM can facilitate smoother execution.

• Error Management: In case of deployment errors, users will receive notifications via SMS, WhatsApp, or calls. Refer to the deployment’s notification log for resolution guidance. If the issue persists, support is available through the designated Telegram group.

• IMPORTANT SETTING: Ensure that the "On Error Setting to Exit the Strategy" option is enabled on the deployed page for efficient risk management.

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User Awareness

While the strategy logic remains consistent, outcomes may vary due to differences in entry prices and execution times. For instance, one user may enter at a strike price of 300, while another may enter at 350, depending on broker and execution timing. These differences may result in varied adjustments and outcomes.

For efficient execution, using a low-cost or zero-brokerage broker is recommended. Additionally, reliable API connectivity is important to minimize execution issues. Feedback on broker selection and cost optimization can be provided.

Disclaimer

We are not SEBI-registered advisors. This strategy has been developed through careful testing, but it does not guarantee or claim any specific outcomes. Trading in options involves significant risk, and this strategy is recommended only for those who have a thorough understanding of option selling and trading. Users should consult a qualified investment advisor before deploying this strategy live.

Exchanges: NFO

Capital Required

• ₹50,000 per multiplier (1X).

Monthly Fee

• Free + 10.00%.