Strategy description

CASH COW BULLET – SENSEX

Strategy Overview

1. CASH COW BULLET – SENSEX is a, intraday option selling strategy designed specifically for Sensex weekly options.
2. The strategy captures intraday theta decay in low-volatility environments through a fully hedged, non-directional setup.
3. Strategy Structure:
   1. Sell 1 lot of ATM Call and Put options.
   2. Buy 1 lot of OTM Call and Put options for margin reduction and risk management.
   3. Intraday only, with no overnight exposure.

Execution Timings

1. Entry: Any time after 9:15 AM.
2. Exit: Strictly before 3:20 PM.
3. Product Type: MIS (Intraday).

Capital Requirement

1. Margin Required: ₹1,50,000 (approx.).
2. Buffer Capital: ₹30,000 (recommended for volatility and execution slippage).

Risk Management

1. Risk Type: Low.
2. No Manual Intervention: Strategy must run uninterrupted once deployed.
3. Minimum Commitment: Continue for at least 3 months to let the statistical edge play out.

Stop Loss & Target

1. Capital-Level Stop Loss: Strictly capped at 1% of capital per day.
2. Trailing Stop Loss (TSL): Dynamically applied based on market conditions and system logic.
3. Target: No fixed profit target — consistent returns expected over time.

Paper Trading Guidelines

1. Paper trade for at least 1 week before going live.
2. Maintain fixed lot size during the testing phase.
3. Do not pause or modify the strategy during market hours.
4. Accept short-term losses as part of systematic trading.

Execution & Error Management

1. Enable notifications for order or execution failures.
2. Monitor API sessions if using algo platforms like Tradetron or broker APIs.
3. Ensure margin buffer is available to prevent auto square-offs.
4. Be ready to redeploy in case of technical errors or disconnections.

Profit Sharing (If Applicable)

1. 10% of net monthly profit applies under profit-sharing or managed account setups.
2. Losses from previous months are adjusted before calculating payout.
3. Examples:
   1. Month 1: ₹1,00,000 profit → ₹10,000 commission.
   2. Month 2: ₹50,000 loss → ₹0 payable.
   3. Month 3: ₹1,00,000 profit → ₹5,000 commission (10% of net ₹50,000 after adjustment).

Disclaimer & Risk Awareness

1. CASH COW BULLET – SENSEX is provided strictly for educational and informational purposes.
2. This is not investment advice; the creator is not a SEBI-registered advisor.
3. Options and derivatives trading involve significant risk with no assurance of profitability.
4. Past performance does not guarantee future results.
5. Always consult a licensed financial advisor before deploying real capital.
6. All trades are at your own risk; the creator assumes no liability for losses.

Contact Information

1. WhatsApp: +91 81003 96609
2. Email: [email protected]