Frequently asked questions

Do we need to trade them manually?

Since these are 100% rule based and can be executed automatically.

Can office going person trade them?

Since this is 100% automated office going person can easily run them. But monitoring to be done in cases there are error in execution. There are notification of errors on phone. And Error management take less than a minute.

Do we require any coding?

Same strategies are already running in our account and same code can be used.

Can a strategy showing profits be in losses.?

There is no strategy which will always be in profits. It may be that at time you started the strategy it is drawdown phase.

How to scale up?

Scale up can be done Vertically and horizontally. Either by starting a new strategy or increasing the quantity of running strategy. Scale up should be done as per risk management and not randomly.

What is Drawdown ?

Drawdown is a measurement of risk. The higher the drawdown is, the riskier your model is. If drawdown is 20,000 means that your capital is negative by 20,000 after continuous losses.

What is ideal Drawdown?

For conservative trader < 3 % of capital deployed in strategyFor Slightly aggressive between 3 % - 5% of capital deployed in strategy For aggressive 6%-10% of capital deployed. Above 3 are for option selling strategies. For Option Buying drawdown will be 20%-30% of capital deployed.

What are the type of strategy ?

There are strategies based on Index option selling/buying. Strategies are back tested and optimized after doing multiple Backtest.

What is Expectancy?

A positive expectancy indicates that the strategy is profitable in the long run, while a negative expectancy suggests that the strategy will likely result in losses over time.