Strategy description

Strategy Description: Pulasthya – A Positional Bank Nifty Options Strategy

Overview

Pulasthya is a systematic positional options strategy designed for Bank Nifty, employing an Iron Condor framework. The strategy uses a disciplined methodology to create structured positions, with adjustments and hedges incorporated to enhance its balanced approach.

Key Elements

1. Entry Timing
   1. Initiation Time: Positions are initiated after the monthly expiry, typically on the following Friday at 15:20 hours.
   2. Holiday Adjustment: If Friday is a holiday, the initiation is scheduled for Saturday at the same time.
2. Exit Timing
   1. Closing Time: All open positions are exited before the upcoming monthly expiry to avoid carryover into the next cycle.
3. Iron Condor Framework
   1. Short Legs:
      • Higher-strike out-of-the-money (OTM) call options.
      • Lower-strike out-of-the-money (OTM) put options.
   2. Long Legs (Hedges):
      • OTM call options to complement and hedge the short call position.
      • OTM put options to complement and hedge the short put position.
4. Adjustments
   1. A maximum of two modifications are permitted to the short positions during the lifecycle of the strategy.
   2. Adjustments are implemented to maintain the overall framework.

Capital Requirements

1. Capital Allocation: ₹80,000 is the recommended allocation for executing this strategy.
2. Buffer Margin: An additional 10% buffer is suggested to accommodate operational needs.

Pricing

1. No Upfront Fee: There are no initial charges for using the algorithm.
2. Performance Fee:
   1. 5% of Monthly Gross Profit, as detailed on the Tradetron deployment page.
   2. Gross profits across all strategies are aggregated for calculating performance fees.
   3. Minimum Billing Threshold: No invoices are issued for amounts below ₹100.
   4. Maximum Cap: Performance fees are capped at ₹1,000 per strategy.

Subscriber Recommendations

Subscribers are encouraged to use paper trading for at least one month to gain familiarity with the system before deploying it in live trading.

Contact Information

1. Mobile: 9820972015
2. Email: [email protected]

Disclaimer

Saptharishi Algo provides algorithmic trading solutions but does not offer financial or investment advice. Saptharishi Algo is not a SEBI-registered advisor.

Key Considerations

1. Trading decisions made using the strategy are entirely at the user’s discretion.
2. Saptharishi Algo does not make guarantees regarding financial outcomes.
3. Users are encouraged to independently assess their financial objectives and consult qualified professionals before engaging in trading activities.

Important Notes

1. Trading outcomes are subject to market conditions and variability.
2. Any references to prior performance, if applicable, are not indicative of future results.
3. Saptharishi Algo assumes no responsibility for technical issues, operational challenges, or financial consequences arising from trading activities.

User Acknowledgment

By engaging with Saptharishi Algo, users agree that all trading decisions are made independently. It is recommended that trading aligns with individual financial goals and levels of comfort. Users are advised to exercise caution and diligence in making trading-related decisions.

For additional information, please feel free to reach out. All communications are for informational purposes only and do not constitute financial advice.