Strategy description

Bank Nifty Option Strategy

This strategy focuses on intraday option buying of BANKNIFTY options. It is a positional strategy designed to trade in the direction of the market trend. The strategy buys either a BANKNIFTY Call option or Put option when predefined conditions are met and exits when the trend reverses. The strategy is fully automated with predefined risk management rules.

Key Details:

1. Capital Required: ₹30,000 (for 1x multiplier) for 1 lot of BANKNIFTY ITM options.
2. Win Ratio: Paper trade first and then decide based on performance.
3. Exchanges: NFO
4. Target: No specific target, follows the trend of BANKNIFTY.
5. Stop Loss: Exits when the trend reverses.
6. Maximum Trades per Day: Varies based on market conditions (may take multiple trades in a day).
7. Monthly Fee: Free for now.
8. Variable Fee: 10% of the monthly profit.

Important Notes:

1. This strategy takes positions in BANKNIFTY ITM options.
2. It aims to buy options close to OTM price when the market conditions are met.
3. The strategy runs with the trend and aims for maximum profit during trending market conditions.
4. If profit targets are achieved, the strategy may be paused, and users can exit manually.
5. Exits happen when the market trend changes or at the end of the expiry day (2:45 PM).
6. Capital required should always include a buffer amount to manage any P&L adjustments during trading.
7. Paper trade first and observe performance before going live.

Disclaimer:

1. I am not a SEBI registered analyst, and I am not responsible for any losses incurred. All trades in the stock and derivative market carry inherent risks. Please read and understand all related information before trading. Consult your financial advisor before making investment decisions.
2. Algo trading has its limitations, and it’s essential to understand how to manage errors in the Tradetron platform. Paper trading and live trading can differ significantly, so it is crucial to test the strategy and gain experience before deploying it with real funds.
3. Always ensure you maintain the required capital and buffer amount. The strategy involves a high degree of risk, and it's your responsibility to monitor your trades effectively.
4. If you have any queries, feel free to contact / WhatsApp me at 7978009091.