Strategy description

Options Algo Strategy Description

This is an Intraday and Positional Options Trading Algo Strategy designed to capture short-term price movements and hedge against market volatility using a combination of intraday and next-week expiry options.

Strategy Logic:

1. Initial Setup:

   1. Buy ₹5 OTM CE (Out-of-the-Money Call Option) for current expiry.

   2. Buy ₹5 OTM PE (Out-of-the-Money Put Option) for current expiry.

   3. Sell ₹100 CE (In-the-Money or At-the-Money Call Option) for current expiry.

   4. Sell ₹100 PE (In-the-Money or At-the-Money Put Option) for current expiry.

   5. Buy ₹20 CE (Out-of-the-Money Call Option) for next week expiry. MANUALY

   6. Buy ₹20 PE (Out-of-the-Money Put Option) for next week expiry. MANUALY

2. Target & Exit Rules:

   1. Target: ₹50 profit per CE/PE leg.

   2. If CE touches ₹50, sell the ATM CE at ₹10 less than the current ATM price.

   3. If PE touches ₹50, sell the ATM PE at ₹10 less than the current ATM price.

3. Stop Loss & Exit:

   1. If CE or PE price reaches ₹280, exit the respective option (whichever hits the level first).

4. Next Week Expiry Management:

   1. Hold the ₹20 CE and ₹20 PE (next week expiry) to hedge against sudden market movement.

   2. Monitor next week expiry positions for adjustments based on market trends.

5. Overall Intraday Target:

   1. The total intraday target is set to ₹100.