Strategy description

Nifty Weekly Option Buying Momentum Strategy

Strategy Description

1. This is Nifty weekly option buying momentum based strategy.
2. Stop Loss is 6% of the premium value for each trade and target is not fixed as it runs on trailing stop loss.
3. Maximum 4 trades per day per counter with Trailing Stop Loss.
4. If counter closes, the strategy will reactivate after 2 minutes.
5. Strategy will not take any trades after 12:45am but it will keep running.
6. In the morning before 09:00 am, please authorize your broker if you have deployed the strategy in Live Auto mode.

Key Parameters

Quantity & Counter Rules

1. The initial day start quantity is 150 and then 150 quantity gets added for next day if the counter is not closed by current end of the day.
2. If the counter gets closed on current day. The strategy will restart automatically with starting 150 quantity.
3. There can be maximum 4 trades in a day per counter and if the counter does not close the strategy will be running without any positions to avoid gap-up / gap-down situations the next trading day (DO NOT EXIT STARTEGY MANUALLY as it will be always running (even after trading day close)).
4. Trailing stop loss is used for every trade taken, so even if the MTM goes in negative for a counter, it will not be much and strategy will try to take the momentum trades only till the maximum quantity reaches to 900. This can happen on 6th day of the counter.
5. The counter will close in positive PNL till the quantity reaches to 900. If the quantity goes beyond 900, the counter will exit with whatever MTM is there at that point of time.

Operating Notes

1. Strategy does not need any manual intervention.
2. Please initially deploy in paper trade to see the performance of the strategy. If you find it appropriate, then only deploy in Live-Auto mode.

Contact

If you have any further queries, please feel free to write to,

[email protected]