BUSTED BY COSTS

Next-week ₹25 strangle with stop to cost backtest: does it work after costs?

We coded the next-week ₹25 strangle with stop to cost strategy exactly as taught in a public video and ran it on NIFTY next-week, 2019-02 to 2026-10, with real charges. Claimed ₹2.98 L. Reality ₹77,012. As taught, 1 lot made about ₹78k net after real costs from 2019 to Oct-2026 (about ₹10k a year).

Net after costs: ₹78,197
Win rate: 53.8%
Worst drawdown: −₹27,326
Reality Score: 56/100

The rules, as taught

At 09:16 sell the next-week NIFTY call and put priced ≤ ₹25, each with a 10-point stop; when one leg stops, the other leg's stop moves to its entry; exit 15:15, no re-entry. Gaps we filled: fill at the 09:18 open, gapped stops fill at the open.

What the video claims, and what we found

Claim: About ₹2.98 L on 1 lot from 2019 to Aug-2026 with a profit factor of about 2.1.

With stops filled exactly at the stop and no costs we got ₹2.81 L vs their ₹2.98 L (profit factor 2.16 vs 2.10); realistic gapped stops removed about ₹53k and costs about ₹1.36 L.

See the full results, charts and every trade

Questions people ask

Does the Next-week ₹25 strangle with stop to cost strategy work?

Not as taught, once real charges are included. As taught, 1 lot made about ₹78k net after real costs from 2019 to Oct-2026 (about ₹10k a year). Tested on NIFTY next-week, 2019-02 to 2026-10, after real costs. Reality Score 56/100.

What is the win rate of the Next-week ₹25 strangle with stop to cost strategy after costs?

53.8% of 1,870 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 ₹78,197 with a worst drawdown of −₹27,326.

How much did it make or lose in the backtest?

Claimed ₹2.98 L. Reality ₹77,012. Over 2019-02 to 2026-10 (1 lot, lot size of the day), the net after charges was ₹78,197 and the worst fall from a peak was −₹27,326.

What exact rules were tested?

How was the Next-week ₹25 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.