#options backtesting india

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Multiple Strategies for Free Options Backtesting India | AlgoTest India

Backtest multiple strategies together using portfolio feature to see which delivers the highest return with the least risk. Learn more here.

We recently introduced a new feature on algotest.in called Portfolio, which allows you to backtest multiple strategies together. In this blog, we’ll backtest a sample portfolio of multiple strategies, and also show you how to avoid common pitfalls when using this feature.

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Backtest Trading Strategies Free India | AlgoTest India

Using Trail Stop Loss to Break-Even Price when Backtesting can be a useful feature to manage risk and maximize profitability

Let’s say we are short a 920straddle with a stop loss on each leg at 20%, and “Square off: Partial” selected. A large market move in one direction will lead to one leg’s SL being hit. In this scenario, we will only exit that leg and continue to hold the position of the other leg. For example – if my call and put entry prices were both Rs 100, then my SL for each leg is Rs 120. Most likely the call SL will get hit first if the market goes up first. In this scenario, the put will continue to be in the market, with its stop-loss unchanged at Rs 120. A similar scenario unfolds if the market goes down first, in which case your put SL will be hit while the call stays in the market.