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The document outlines a trading strategy involving options with a focus on 5-minute candle closes, strike selection, and premium candle analysis. It calculates entry points for call (CE) and put (PE) options based on previous day's high values and implements a monitoring system for trade exits based on stop loss and target prices. The strategy includes conditional checks for executing trades and managing active trades.

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riskreward102
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0% found this document useful (0 votes)
0 views8 pages

code1

The document outlines a trading strategy involving options with a focus on 5-minute candle closes, strike selection, and premium candle analysis. It calculates entry points for call (CE) and put (PE) options based on previous day's high values and implements a monitoring system for trade exits based on stop loss and target prices. The strategy includes conditional checks for executing trades and managing active trades.

Uploaded by

riskreward102
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

# =========================================

# 1. 5-MINUTE CANDLE CLOSE

# =========================================

candle_close = 25200

strike_gap = 50

# =========================================

# 2. 3 OTM STRIKE SELECTION

# =========================================

ce_strike = candle_close + (3 * strike_gap)

pe_strike = candle_close - (3 * strike_gap)

print("CE Strike:", ce_strike)

print("PE Strike:", pe_strike)

# =========================================

# 3. PREVIOUS DAY CE PREMIUM CANDLES

# =========================================

ce_previous_day = [

{"open": 170, "high": 180, "low": 165, "close": 175},

{"open": 190, "high": 200, "low": 185, "close": 195},

{"open": 210, "high": 220, "low": 205, "close": 215}

]
# =========================================

# 4. PREVIOUS DAY PE PREMIUM CANDLES

# =========================================

pe_previous_day = [

{"open": 150, "high": 160, "low": 145, "close": 155},

{"open": 160, "high": 170, "low": 155, "close": 165},

{"open": 170, "high": 180, "low": 165, "close": 175}

# =========================================

# 5. SMA3 HIGH CALCULATION

# =========================================

ce_high_values = []

for candle in ce_previous_day:

ce_high_values.append(candle["high"])

pe_high_values = []

for candle in pe_previous_day:

pe_high_values.append(candle["high"])
ce_sma3_high = sum(ce_high_values) / len(ce_high_values)

pe_sma3_high = sum(pe_high_values) / len(pe_high_values)

print("CE SMA3 High:", ce_sma3_high)

print("PE SMA3 High:", pe_sma3_high)

# =========================================

# 6. TODAY'S SELECTED CE PREMIUM CANDLE

# =========================================

ce_current_candle = {

"open": 230,

"high": 240,

"low": 225,

"close": 235

# =========================================

# 7. TODAY'S SELECTED PE PREMIUM CANDLE

# =========================================

pe_current_candle = {

"open": 190,

"high": 200,

"low": 185,
"close": 195

# =========================================

# 8. TRADE STATUS

# =========================================

ce_trade_done = False

pe_trade_done = False

ce_trade_active = False

pe_trade_active = False

# =========================================

# 9. CE BREAKOUT AND ENTRY

# =========================================

if (

ce_current_candle["open"] > ce_sma3_high

and

ce_current_candle["close"] > ce_sma3_high

):

if ce_trade_done == False:

ce_entry = ce_current_candle["close"]
ce_stop_loss = ce_entry - 7

ce_target = ce_entry + (ce_entry * 1 / 2)

ce_trade_done = True

ce_trade_active = True

print("BUY CE")

print("CE Entry:", ce_entry)

print("CE Stop Loss:", ce_stop_loss)

print("CE Target:", ce_target)

# =========================================

# 10. PE BREAKOUT AND ENTRY

# =========================================

if (

pe_current_candle["open"] > pe_sma3_high

and

pe_current_candle["close"] > pe_sma3_high

):

if pe_trade_done == False:

pe_entry = pe_current_candle["close"]

pe_stop_loss = pe_entry - 7
pe_target = pe_entry + (pe_entry * 1 / 2)

pe_trade_done = True

pe_trade_active = True

print("BUY PE")

print("PE Entry:", pe_entry)

print("PE Stop Loss:", pe_stop_loss)

print("PE Target:", pe_target)

# =========================================

# 11. LIVE EXIT MONITORING

# =========================================

while ce_trade_active or pe_trade_active:

# Practice live premium values

ce_current_premium = 250

pe_current_premium = 210

# -------------------------

# CE EXIT

# -------------------------

if ce_trade_active:
if ce_current_premium <= ce_stop_loss:

print("CE STOP LOSS HIT")

ce_trade_active = False

elif ce_current_premium >= ce_target:

print("CE TARGET HIT")

ce_trade_active = False

# -------------------------

# PE EXIT

# -------------------------

if pe_trade_active:

if pe_current_premium <= pe_stop_loss:

print("PE STOP LOSS HIT")

pe_trade_active = False

elif pe_current_premium >= pe_target:

print("PE TARGET HIT")


pe_trade_active = False

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