Nifty Future Strategy with 13000 Margin

#1
Hi Friends,

This is the best strategy I found till now.

Investment Required to place trade : 1 LAC
Margin used: 13000
Zerodha: http://prntscr.com/dz529a

How to trade:
Between 3:00PM - 3:25 PM
Buy current Month Future
Sell Next Month Future

On next Day morning 09:30AM-10AM
Exit both positions at same time.

These positions will exit from your normal position but it will remain active as your intraday position. So, you can see intraday profit/loss into your account.

let it move for whole day wherever it go..

@3PM-3:15PM
If one position is in 30/50+ points profit then Buy/Sell Back the profitable trade. And don't do anything with lossing position. Let it go.

Now we will have only one position open for next day. We will start another position on next day morning..

But in this single side open position we have risk of loss.
So, If you are long in future buy same month ATM/ITM put 2 lots.
If you are short in future buy same month ATM/ITM Call 2 lots

It will save us from big open range..

On next day morning you will be almost at 0 profit-loss. May be a small loss because of Option time decay or something else. But it will be around 2-5 points. Not more than that.

Now @9:30 - 10AM
Exit all your positions and no trade for that day.. Repeat the process on next day..


Note => Do not trade in current month if expiry is in 1/2 weeks. Go for next and next+1 month in that case.
 

tradingstudent

Well-Known Member
#2
Hi Friends,

This is the best strategy I found till now.

Investment Required to place trade : 1 LAC
Margin used: 13000
Zerodha: http://prntscr.com/dz529a

How to trade:
Between 3:00PM - 3:25 PM
Buy current Month Future
Sell Next Month Future

On next Day morning 09:30AM-10AM
Exit both positions at same time.

These positions will exit from your normal position but it will remain active as your intraday position. So, you can see intraday profit/loss into your account.

let it move for whole day wherever it go..

@3PM-3:15PM
If one position is in 30/50+ points profit then Buy/Sell Back the profitable trade. And don't do anything with lossing position. Let it go.

Now we will have only one position open for next day. We will start another position on next day morning..

But in this single side open position we have risk of loss.
So, If you are long in future buy same month ATM/ITM put 2 lots.
If you are short in future buy same month ATM/ITM Call 2 lots

It will save us from big open range..

On next day morning you will be almost at 0 profit-loss. May be a small loss because of Option time decay or something else. But it will be around 2-5 points. Not more than that.

Now @9:30 - 10AM
Exit all your positions and no trade for that day.. Repeat the process on next day..


Note => Do not trade in current month if expiry is in 1/2 weeks. Go for next and next+1 month in that case.
Surya,

Thanks for your inputs. :)

I am quoting you:

"On next Day morning 09:30AM-10AM Exit both positions at same time.

These positions will exit from your normal position but it will remain active as your intraday position. So, you can see intraday profit/loss into your account.

let it move for whole day wherever it go..

@3PM-3:15PM
If one position is in 30/50+ points profit then Buy/Sell Back the profitable trade. And don't do anything with lossing position. Let it go."


We have closed the position on the morning 9:30 AM-10AM. After this the positions are Nil. So at 3PM-3:15 PM, there is no question of any profit or loss, Isn't it?

May be i missed the logic. Can you please explain further...

Also, a sample trade with number would be really helpful...:thumb:
 
#3
@tradingstudent
Yes, We have closed the yesterday positions, But these positions will be still open as Intraday positions. IF you buy back anyone before 3:30PM then it will become normal positions again. And If you don't then it will be debited from your normal account.
 

travi

Well-Known Member
#6
I had posted the #2 post but it isn't showing.
Can you explain what you intend to do ?
 

tradingstudent

Well-Known Member
#9
@tradingstudent
Yes, We have closed the yesterday positions, But these positions will be still open as Intraday positions. IF you buy back anyone before 3:30PM then it will become normal positions again. And If you don't then it will be debited from your normal account.
Hi Surya,

Thanks for responding. Just taking a hypothetical example:

1st January 3-3:30 PM:

Buy Jan Fut @ 8000
Sell Feb Fut @ 8050

2nd January 9:15-9:30 AM:

Sell Jan Fut @ 8020
Buy Feb Fut @ 8070

For a moment, keeping the pricing of futures as constant...

Shouldn't Net Positions be Zero, since the orders cancel each other?

Sorry for not being able to catch the logic.

Thanks

PS: Keep posting the results of the trade tomorrow..:thumb:
 
#10
It seems to be two part.
First, Spread overnight only position
second, directional but fully hedged overnight only position

both seem to be independently tradeable
or am I wrong ?
 

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