Strategy description

Bank Nifty Futures Price Action Strategy

Overview

This strategy operates on Bank Nifty Futures with two separate approaches: one targeting bullish moves and the other focusing on bearish market conditions. The strategy aims to deploy trades based on price action, capturing key market movements. The two strategies work in tandem, ensuring that when one side enters a position, the other side exits, providing balance and mitigating risks.

Key Features of the Strategy

1. Capital Requirement: ₹300,000 for both strategies (bullish and bearish sides combined). When one side takes an entry, the other side exits, balancing the capital usage effectively.
2. Trade Side: One strategy works for bullish market conditions, and the other works for bearish conditions.
3. Trading Frequency: The strategy adapts to market movements, executing trades when specific price action criteria are met.
4. Risk Management: Managed by automatically exiting the opposite position whenever one side takes an entry, reducing exposure.

How the Strategy Works

1. Bullish Side: A trade is initiated when the price action signals a bullish move in Bank Nifty Futures. Positions are managed with a stop loss and target based on price action principles.
2. Bearish Side: A trade is initiated when price action suggests a bearish trend. Similar to the bullish strategy, positions are exited when the opposite position enters.
3. Entry/Exit: Positions are entered and exited dynamically based on the prevailing price action, and one side always exits before the other side enters, ensuring controlled risk management.

Disclaimer

1. Non-SEBI Registered: Apple Algo Trading is not a SEBI-registered investment advisor.
2. Risk Awareness: While this strategy has been rigorously tested and optimized, it does not guarantee any specific financial outcomes all the times. Market conditions vary, and losses are possible.
3. Suitability: The strategy is suitable for individuals with a solid understanding of options and trading. It is not recommended for beginners or those with limited risk tolerance.
4. Consultation: Prior to live implementation, it is strongly advised to consult with a qualified financial advisor to ensure the strategy aligns with your financial goals and risk appetite.
5. Paper Trade Recommended: It is highly recommended to test the strategy in a paper trading environment before deploying it live to fully understand how it operates under real market conditions.