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If you are looking for Algo trading options in India and build various trading strategies across multiple indexes and expiries, let's look at the 4 most popular types of options automation requirements usually received from traders in India.
Futures / Index chart analysis but buy/sell option contracts
Direct options contract chart analysis based buy/sell options
Multi-leg option contracts basis time or chart based buy/sell options
Scanning of symbols to buy/sell single or multiple stocks, futures or options
All of these types for options algorithmic trading are programmed based on the traders strategic ideas/logic across the indexes like direct options or index based options strike picking and placing orders.
Algo Trading Options In India and The Popular Indexes: NSE & BSE
Below are the most popular indexes, expiries & respective lot sizes that most traders are interested & develop their options strategies and automate too.
INDEX | EXCHANGE | EXPIRIES | WEEKLY EXPIRE DAY | LOT SIZE |
Nifty | NSE | Weekly, Monthly & Quarterly | Thursday | 25 |
Bank Nifty | NSE | Weekly, Monthly & Quarterly | Wednesday | 15 |
FinNifty | NSE | Weekly & Monthly | Tuesday | 25 |
NSE | Weekly & Monthly | Monday | 50 | |
Sensex | BSE | Weekly, Monthly & Quarterly | Friday | 10 |
Some manually trade but mostly traders are interested to finalize the strategy & try to automate using various tools and programing languages for higher accuracy and timely executions by using broker's API.
For traders who are non-programmers and avoid complex process of writing customised options strategies/codes using various tools, save a ton of time, we help traders to build their strategies and completely automate with 115+ brokers in India.
Our Expertise & Supported Tools For Options Automation:
Tool Name | Automation Scope |
|---|---|
Amibroker | Cash, Futures, Options (direct & underlying based, multi-legs), Scanners, etc., Backtesting (all segments) |
TradingView | Cash, Futures, Options (underlying based), Scanners (max 40 symbols), Backtesting (cash & futures) |
Excel | Cash, Futures, Options, Scanners, etc,. |
Python | Cash, Futures, Options, Scanners, etc,. |
NinjaTrader | Cash & Futures |
Let’s take a look at each of above 4 types of options automation requirements with some examples.
1) Futures / Index Chart Analysis But Automate Option Trading:
Here the underlying analysis symbol data can be either future or spot of index or stocks.
The Traders strategy code with desired entry and exit logics will be continuously applied on this symbol data.
Once the technical criteria/conditions matches, it triggers an alert.
This code module is further combined with additional options code module in order to convert this index alert to options execution format data.
The alert output matches with broker/exchange required order format.
Final output for placing options orders may include fields like segments, strike value, call or put, buy or sell, quantity, order type (MIS/Intraday) and other details depending on the requirement.
Examples are as below:
Indicators like SuperTrend, RSI, Moving averages
Candles OHLC based logics
Any other conditions depending on the trader ideas
All these will be applied on top of the Spot or Future charts live data.
2) Direct Options Contract Chart Analysis Based Buy/Sell Executions:
Here the underlying analysis symbol data can be either direct call or put option contract of index or stocks.
The Traders strategy code with desired entry and exit logics will be continuously applied on this options contract data directly.
Once the technical criteria/conditions matches at options level, it triggers direct option alert.
This alert is sent in the broker/exchange required format.
Final output for placing options orders may include fields like segments, strike value, call or put, buy or sell, quantity, order type (MIS/Intraday) and other details depending on the requirement.
Examples are as below:
Indicators such as SuperTrend, RSI, Moving averages
Candles OHLC based logics
Other conditions depending on the trader's ideas
All these will be applied on top of the direct options live charts data
3) Multi-Leg Option Contracts Using Time/Chart Based Analysis Buy/Sell Executions:
Here the underlying analysis symbol can be either direct call or put contracts or based on the underlying index or stocks.
The number of total legs can be usually 2 4 6 8 12…etc
The Traders strategy code with desired entry and exit logics for multi legs will be continuously applied on these options contracts data directly.
Once the technical criteria/conditions match for any or all options level, it triggers multiple direct options alert.
These alerts are sent in the broker/exchange required format simultaneously.
Final output for placing options orders may include fields like segments, strike value, call or put, buy or sell, quantity, order type (MIS/Intraday) and other details depending on the multileg requirement.
Examples are as below:
Time based buy/sell for both ATM CE/PE options
Delta neutral based multi leg options strategy
SuperTrend based buy/sell for multiple CE/PE options
Candles OHLC based logic for trading
Level based logic for options trading
Other multileg conditions based on trader's ideas
All these will be applied on top of the direct options live charts data.
4) Scanning of Symbols To Buy/Sell Single or Multiple Stocks, Futures or Options:
Here the underlying analysis symbol data can be stocks or futures or options contract of index or stocks.
The strategy code with desired entry and exit logics will apply on top of the required symbols live data and scanned continuously.
Once the technical criteria/conditions match for any or all options level, it triggers alert.
These entry exit alerts are sent in the broker/exchange required format.
Final output for placing options orders may include fields like segments, strike value, call or put, buy or sell, quantity, order type (MIS/Intraday) and other details depending on the requirement.
Examples are as below:
Scan NSE 100 stocks for SuperTrend up/downtrend
Place direct stocks, futures, or desired option strikes based on the scan results
Scan Index symbols and place options accordingly
Implement candle color-based logics in the scanning process
Utilize Candle OHLC (Open, High, Low, Close) based logics in the scan
Incorporate level-based logics in the scanning strategies
Include any other scanner conditions as per the trader's ideas
All these scanner logics will be applied on top of the live market data of cash, futures, or options.
Feel free to reach us for any of your options automation requirement.
Get a free consultation today or directly share your requirement.