This is Option buying strategy on BankNIFTY. This strategy can be automated with three Brokers i.e. Aliceblue, Mastertrust and IIFL for now, as and when we integrate other brokers will update you all.
The strategy has StopLoss and Trailing StopLoss built-in
We call this OptionLongXL. This strategy is momentum based strategy, where profit can be achieved with Trend. In most the time the trade shall occur on ATM Option. The strategy has built in Stop Loss and Trailing Stop Loss, hence you don't need to take any action of your own to square it off. Risk is already covered in the Strategy design.
As this is fully automated Strategy BOT, there is no action required from a Traders end, once you deploy the strategy successfully you are all set to trade on this Automated Strategy.
Positions shall be taken on either Call Buy (When BANKNIFTY Index is moving upward) or Put Buy (when BANKNIFTY Index is falling down), as this is a buy only Strategy BOT, hence margin requirement is also very less.
The Call or Put premium price ranges between Rs.500 to Rs.800 hence generally it is ATM, but at times during signal generation it might also consider ITM strike prices.
Target and SL Logic:
Please watch our detailed strategy video (https://dailytrademantra.com/robo-trading-banknifty/) to see its live backtest, expected ROI based on backtested data. average monthly return based on backtest also OptionZoom live trading.