Help me implement my Consistent income Option selling strategy

Streak - backtesting
1

I need assistance with implementing a monthly positional short selling strangle strategy in Streak. Here are the specifics of my strategy:

  1. Instrument: Equity options
  2. Strategy Details:
  • Sell the next month’s call option (CE) that is 10% above the ATM.
  • Sell the next month’s put option (PE) that is 10% below the ATM.
  1. Entry Time: One day after the current month’s expiry.
  2. Exit Time: One day before the monthly expiry of that instrument.

Example:

  • If the instrument is TCS, and the current month expires on Thursday, 25th July, I want to:
    • Enter the trade on Friday, 26th July.
    • Sell TCS 29th August CE at 10% above the ATM.
    • Sell TCS 29th August PE at 10% below the ATM.
    • Exit the trade on Wednesday, 28th August.

How can I set up this strategy in Streak to automate the entry and exit points as described? Any guidance on configuring the conditions and parameters in Streak would be greatly appreciated.

2

Hi @Dibyajyoti_Panda

Streak does not currently support dynamically selecting strike prices based on percentages. Streak’s Dynamic Contracts feature allows you to choose strikes based on OTM and ITM with respect to ATM.

To learn more about DYC, refer to the link below:
https://help.streak.tech/dynamic_contract/

As per your requirement, for entering trades, you’ll need to manually deploy strategies after the expiry of the previous month, and exiting one day before the expiry is not supported.

For further queries, write to [email protected] and the team shall help you.