Pivot Trading Strategy
Symphony provides a pivot trading strategy- PrestoSmartPivot. The strategy basically takes support and resistance levels from a simple csv file and sends appropriate orders to the exchange. Two support and two resistance levels may be provided as pivots in the csv file.
Logic of Pivot Trading Strategy
The logic is explained with the help of a Buy trade example. The trade is managed using two support levels (S1, S2) and two resistance levels (R1, R2).
- If Market Opens outside S2 and R2, ignore trading in that Symbol
- If LTP touches S2 and bounces back and breaches S1 take the Long Entry.
- If LTP breaches S2 and remains out of range for more than 15 min, ignore trading in that Symbol
- It’s an Intraday Strategy. All positions to be squared-off automatically at Strategy End Time (Say 3:20PM).
- Entry Cut-Off Time Limit should be 15 min. before the Strategy End Time
- We are not considering Gap Up or Gap Down conditions at this moment.Entry Order will be a Limit Order.
- Once the Entry order is executed, strategy will create Stop Loss (Stop Market) at S2 and Profit Target Orders at R1 and R2 (of 50% Qty each).
- Both Profit Target Orders and Stop Loss Orders will be sent to Exchange, only if LTP is reached to these values, so that Margins are not blocked for these orders.
I am interested in Algo trading especially the strategy you suggested above.