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Expiry-day ₹55 strangle with stop to cost backtest: does it work after costs?

We coded the expiry-day ₹55 strangle with stop to cost strategy exactly as taught in a public video and ran it on NIFTY weekly (expiry day), 2019-02 to 2026-10, with real charges. Our test: ₹2.42 L after real costs. As taught, 1 lot made about ₹2.42 L net over 402 expiry days with a 66% win rate and drawdown under ₹10k.

Net after costs: ₹2.42 L
Win rate: 65.7%
Worst drawdown: −₹9,558
Reality Score: 100/100

The rules, as taught

On weekly expiry day at 09:20 sell the call and put priced closest to ₹55. Each leg has a 50% stop; when one stops out, the other leg's stop moves to its entry price. Exit 15:29; naked. Gaps we filled: lot size of each date, about ₹2 L capital for % figures.

What the video claims, and what we found

Claim: Every year positive 2019-2026, about 66% win rate, max drawdown about 5.8%.

Same 66% win rate; total about 128% on ₹2 L vs their ~130%, drawdown about 4.7% vs 5.8%, and 2026 is the weakest year in both.

See the full results, charts and every trade

Questions people ask

Does the Expiry-day ₹55 strangle with stop to cost strategy work?

In our test the rules as taught roughly hold up. As taught, 1 lot made about ₹2.42 L net over 402 expiry days with a 66% win rate and drawdown under ₹10k. Tested on NIFTY weekly (expiry day), 2019-02 to 2026-10, after real costs. Reality Score 100/100.

What is the win rate of the Expiry-day ₹55 strangle with stop to cost strategy after costs?

65.7% of 402 trades made money after real charges in our test (2019-02 to 2026-10). A high or low win rate alone says little; the net result was ₹2.42 L with a worst drawdown of −₹9,558.

How much did it make or lose in the backtest?

Our test: ₹2.42 L after real costs. Over 2019-02 to 2026-10 (1 lot, lot size of the day), the net after charges was ₹2.42 L and the worst fall from a peak was −₹9,558.

What exact rules were tested?

How was the Expiry-day ₹55 strangle with stop to cost backtest done?

On 1-minute exchange data since 2017, signals filled at the next minute's open, with real broker charges, STT, exchange fees, SEBI fee, stamp duty and GST, and the lot size of each date. Rules exactly as taught; gaps we had to fill are stated. Full method on our How we test page.

Run it yourself

Opens our backtester with this video's rules as taught, ready to run. Change dates or stops and see what happens. Default charges are used, so totals can differ a little from this page.

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Important

These are educational backtests of publicly taught rules, not investment advice or a recommendation to trade. Algrow is not registered with SEBI as an investment adviser or research analyst. Past results, real or simulated, do not predict future results; option trading can lose more than the premium or margin used.

Method: 1-minute historical exchange data; signals filled at the next minute's open unless the rules say otherwise; real broker charges, STT, exchange fees, stamp duty and GST; lot size as on each trade date. Where a video leaves a rule open, the assumption we made is stated. We test only the rules as presented and paraphrase the claim; watch the video for the creator's full explanation. Full method: how we test.

Creators can request a review or correction: write to [email protected] with the page link and what you believe is wrong. We will re-run the test and update the page.