created : 2 months ago| | live deployment: 3
Strategy description
Strategy Overview
This algorithmic trading system is a positional, carry‑forward trend‑identification model designed to operate on Nifty weekly derivatives. It evaluates market direction using a multi‑timeframe trend‑alignment framework, where trades are initiated only when directional conditions across different time horizons are consistent.
The system is built to capture extended directional moves, including overnight and multi‑session trends, and therefore intentionally carries gap‑risk exposure.
Instrument & Deployment
o Underlying: Nifty weekly contracts
o Structure: 1 multiplier = 4 option spreads
o Margin Requirement: Approximately ₹6,00,000 per multiplier
o Nature: Fully automated, positional, carry‑forward
o Manual Intervention: Not permitted; the system is designed to run end‑to‑end without discretionary overrides
Trade Lifecycle
o Start: The system activates every Wednesday, aligning with liquidity in the new weekly contract.
o End: All positions are automatically closed on Tuesday, coinciding with the expiry of that week’s contract.
o Holding Period: Overnight and multi‑day exposure is inherent to the strategy.
Risk Characteristics
This is a high‑risk, high‑reward model due to:
o Overnight exposure
o Gap‑ups and gap‑downs that can significantly impact P&L
o Trend‑following behaviour that may involve sequences of small losses followed by large winners
o Use of option spreads that can amplify both gains and losses
o This strategy is suitable only for traders who understand and accept volatility, drawdowns, and overnight risk.
Standard Market Risk Disclaimers
o Trading in equities and derivatives involves substantial risk.
o Past performance does not guarantee future returns.
o This model does not assure profits or capital protection.
o Users must assess their risk appetite, financial situation, and investment objectives before deploying.
o This is a rule‑based analytical model and not personalized investment advice.
o Market conditions, volatility, liquidity, and execution factors can materially affect outcomes.
Customer Support
o Phone: 9711490798
o Email: [email protected]
Subscribers
