Option Buying Strategy By Raj Pandya

This strategy is designed for intraday trading on BankNifty using a powerful confluence of trend, structure and momentum. It combines the 9-period Exponential Moving Average (EMA) with Daily Traditional Pivot Points to identify high-probability breakout trades.

A Long (CALL) signal is generated when price crosses and closes above both the 9 EMA and the Daily Pivot Point (PP), confirming upward trend strength. A Short (PUT) signal triggers when price crosses and closes below the 9 EMA and PP, signaling downside momentum. To reduce false signals, the strategy uses RSI with a moving average filter to ensure momentum aligns with price action.

Risk management is built-in with previous candle high/low stop-loss, a fixed 50-point target, and an automatic trailing stop system to protect profits on trending days. This helps capitalize on strong momentum while managing risk effectively.

This strategy works best on the 5-minute timeframe and is optimized for BankNifty futures/options. It aims to capture clean directional moves around key intraday value levels used by institutional traders.