Strategy description

Intraday Option Selling – Short BANKNIFTY (Current Monthly Expiry)

This strategy focuses on intraday option selling in BANKNIFTY, targeting the current monthly expiry. Positions are taken based on a defined logic around ATM ±X strikes, seeking to benefit from intraday price behavior and theta decay.

Trade Type

Option Selling (ATM ±X Strikes based on defined logic)

Capital Requirement

₹3,00,000 (1 lot)

Key Highlights

1. Strategy uses 5-minute frequency with open price execution
2. Profits from time decay (theta)
3. No redeployment after stop-loss is hit on both legs
4. Evaluates directional breakout opportunities intraday
5. Adjusts positions once per day with predefined SL logic
6. Suitable for traders seeking consistent, low-risk intraday returns

What to Do

1. Start with Paper Trading: Run for at least 1 week to gain confidence
2. Be Patient: Avoid panic exits; let the system work
3. Multiplier: Use 1x to 3x based on capital and risk tolerance
4. Exit at Target: Manual early exit allowed on satisfactory profits

What Not to Do

1. Don’t trade inconsistently: Minimum 2-week live trial before judgment
2. Avoid manual override: Follow system rules strictly
3. Don’t chase trades: One valid setup per day is sufficient

Disclaimer

1. I am not a SEBI-registered financial advisor. Traders must understand the risks involved in Futures & Options trading before participating.
2. It is recommended that you consult with your investment advisor before trading in Futures & Options.
3. Deploy the strategy in paper trade mode for 4–5 weeks before moving to live trading.