Banknifty Option Algo

Option Zoom

Option trading is the most challenging when it comes to Buying Option without hedge position. We all know option buy can give us unlimited profit whereas option short can give us unlimited loss. However in intraday there is no unlimited profit or unlimited loss in any strategy. OptionZoom strategy is momentum based strategy, which is relatively high risk and High return based strategy with more than 43% winning ratio, with 44% drawdown.

This Algo strategy is designed BANKNIFTY  as underlying for Options buy only trades. Trader can trade in both Call and Put options on intraday basis based on Banknifty’s movements. 

Our strategy have strict stoploss and target, with a risk reward ratio of 1:3.

Return on Investment

Considering the price range of BANKNIFTY weekly options 1 Lot BANKNIFTY option of 25’s lot would cost approximate Rs. 15,000/- (Required Margin is Rs 45K). Initial investment is Rs. 1,00,000/- (with additional security of Rs. 55K). Average Monthly profit is Rs. 10,39,000/20 = Rs. 52,000/- . Considering these the return on investment average monthly is (52,000/10,00,000 =) 50%, this is theoretical ROI.

After eliminating slippage cost let us consider  ROI as 25% Monthly.

Backtest
Results

Historical Data


2019 till 2020

Previous
Next
  1. Qtr Profit/Loss Table
  2. Month wise Profit/Loss
OptionZoom Monthly is developed on Amibroker AFL, here you can get the Amibroker Report's snapshot.

Fully
Automated

Who can use this Robo Product:

  • Working Professionals/Retired Senior Citizen’s
  • Businessmen/Businesswomen
  • Housewife
  • Investors & Traders

How it Works:

  • This  algo system generates auto signal based on BankNIFTY’s movement and places automatic orders based on the signals.

Investment Amount:

Investment is RS. 1,00,000/- (approximate) for 3 Lot of BANKNIFTY Options.

Initial investment for a trader is Rs. 1,00,000/-. Breakup is mentioned below.

 CategoryRequired fund
3 Lots MarginRs. 45,000/-
Additional Fund (Risk Management)
Rs. 44,200/-
Algo charge
Rs. 7,500/-
Robo Platform Charge
Rs. 3,300/-
Total Initial InvestmentRs. 1,00,000/-
Robo Trading Benefit
  1. No Human intervention while generating Buy or Sell
  2. No Human emotions involve while selecting Target or Stop Loss
  3. Order can be placed to a Broker terminal by an Algo System
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