Trader Strategies
We have some standard, well tested Algorithm based technology as well as Expert Advisors (EAs) which are based on multiple trading strategies.
In addition, we also develop bespoke Algo based software as well as EAs that are customized to suit the requirements of a trader, like
Some strategies that we use are as follows:-
Short Straddle with Divisor/ Trailing SL/ Range SL:
A short straddle is an investing strategy in which you sell both a call and a put option on the same underlying securities, both with the same expiration date and strike price. A short straddle is a neutral, multiple-way strategy with indeterminate risk and little possibility for profit.
Long Straddle:
A long straddle is an options strategy that involves purchasing both a long call and a long put on the same underlying asset with the same expiration date and strike price.
The goal of a long straddle is to profit from a very strong move, usually triggered by a newsworthy event, in either direction by the underlying asset. The risk of a long-straddle strategy is that the market may not react strongly enough to the event or the news it generates.
Individual Leg Straddle:
9.20 Straddle is a popular trading strategy in Nifty and Bank Nifty Options. The strategy involves a very simple execution process and can be easily automated. Sell the Nifty Straddle at precisely 9.20 a.m. with a defined stop loss on both legs that you are comfortable with from the entry price.
About 3.10 in the afternoon, leave the Straddle. Continue the opposite leg with the stop loss if the stop strikes one of the legs.
Our Individual Leg SL (09:20 straddle) strategy comes in four variants.
* Simple :- After hitting the stoploss of either option leg, stoploss of pending leg will remain on original SL level.
* Shift SL to cost :- After hitting the stoploss of either option leg, stoploss of pending leg will shift to it’s cost price.
* Rolling :- After hitting the stoploss of either option leg, system will keep on rolling the pending leg as soon as underlying keep on moving in the same direction.
* DSRolling :- This adjustment is a combination of option selling and debit spread.
Dynamic Strangle:
This intraday strategy combines purchasing a call and a put, each with a distinct strike price. Together, they create a position that should lower the Nifty Straddle/margin Strangle’s needs.
In this two-legged non-directional approach, the trader places positions in OTM call and OTM put options, both with the same underlying and the same expiry date but different strike prices.
Trade is entered between 9:20-10:00 am and exited before 15:28 as determined by predefined parameters.
Semi Directional:
Directional trading strategies are strategies that bet on the up or down movement of the market. Investors can profit by placing bets on the market’s direction by using the directional options technique.
Bull calls, bull puts, bear calls, and bear puts are the four different sorts of strategy.
The tactics result in reduced payoffs while assisting in lowering option costs, volatility, and risk.
Index Options Buying:
Index options are financial derivatives based on stock indices such as the S&P 500 or the Dow Jones Industrial Average. Index options give the investor the right to buy or sell the underlying stock index for a defined time period. Since index options are based on a large basket of stocks in the index, investors can easily diversify their portfolios by trading them. Index options are cash settled when exercised, as opposed to options on single stocks where the underlying stock is transferred when exercised.
Reversal:
Reversals are multi-leg options strategies with known risks and constrained profit margins. While holding a long or short stock position, reversals are employed.
To generate a risk-free profit, a reversal approach is employed. When executed, reversals guarantee a certain reward and reduce risk. Reversals make advantage of the credit from writing an option to lessen the expense of keeping the long option.
