Educational content only; not investment advice. Verify with SEBI-registered professionals before trading.
Intraday + positional strategy research for Indian markets

Study how prominent strategy families make money—without pretending to reveal private secrets.

This playbook translates publicly known methods—trend following, volatility risk premium, factor investing, value, market-making concepts, and tail hedging—into NSE-focused parameters, formulas, risk checks, and Pine Script starting templates.

Risk first
Define max loss before entry
Indian context
NSE liquidity, STT, gaps, SEBI rules
Formula driven
Backtest after slippage and taxes
Intraday
Opening Range Breakout

Range = High(09:15-09:30) - Low(09:15-09:30); Long if Close > ORH and Volume > SMA(Volume,20) × 1.3

Intraday Options
ATM Option VWAP Scalping Filter

Long option if Premium Close > Option VWAP and Volume > SMA(Volume,20) × 1.5 and RSI(14) > 55; Risk = Entry - SignalLow

Intraday Options
Index Breakout Option Buying

Breakout = Index Close > High(09:15-09:45); Option trade allowed if ADX > 18 and Range < 0.7 × ATR(14 daily proxy)

Core formulas desk

Black-Scholes d1
d1 = [ln(S/K) + (r + σ²/2)T] / [σ√T]

Useful for theoretical option delta and price; Indian traders often use market IV from option chain instead of assuming σ.

Expected move
Expected Move ≈ Spot × IV × √(DTE/365)

Approximate range for expiry. Compare with support/resistance and event risk.

Realized volatility
RV = StdDev(ln(Close/Close[1])) × √252

Compare India VIX / option IV against actual movement.

Kelly fraction
f* = (bp - q) / b

Use fractional Kelly only; full Kelly is too volatile for Indian gap risk.

Sharpe ratio
Sharpe = (Portfolio Return - Risk Free Rate) / Volatility

For strategy comparison; use after costs and taxes.

Max pain
Strike where total option buyer payout is minimum at expiry

Popular but not sufficient alone; combine with OI change, price action, and risk limits.

Iron fly max loss
Max Loss = Wing Width - Net Credit

For defined-risk intraday option selling; always pre-calculate margin, worst loss, and exit rules.

Option trade capital risk
Risk = Lot Size × Qty × (Entry Premium - Stop Premium)

Use this before option buying/scalping so one trade cannot damage the account.

Built with GenMB
Built with GenMB