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Backtest BANKNIFTY option strategies

BANKNIFTY moves more than NIFTY in points and in percent, which makes it popular for intraday option buying and selling, and unforgiving when a stop loss is placed badly. Candleback replays its options minute by minute from 2019, through every expiry change.

Built for how BANKNIFTY changed

BANKNIFTY had weekly expiries for years, moved its expiry day from Thursday to Wednesday, then became monthly only. A backtest that ignores this trades contracts that did not exist.

Candleback follows the expiry calendar that applied on each trading day. Lot sizes use today's exchange contract size for the whole test, so profits from different years compare like for like.

Strategies people test on it

These are starting points, not recommendations. Each one is a few clicks in the builder.

Short straddle or strangle at a fixed time, with a stop loss per leg
Option buying on an indicator, such as a supertrend or moving average cross on the index
Credit spreads that cap the loss on a gap day
Re-entry straddles that sell again after a leg is stopped out

See the bad days, not just the total

The monthly heatmap and drawdown chart show when a strategy lost and how long it took to recover. Sort trades by loss to find the days that matter, then open them to see each minute.

Questions

Which lot size does it use?

Today's exchange lot size, for every year of the test, so a rupee of profit in 2020 means the same position as a rupee in 2026. The run's notes say which lot size was used.

Can I backtest BANKNIFTY futures as well?

Yes. Continuous futures and the index itself can be traded, with or without option legs.

Is this investment advice?

No. Candleback is a testing tool. A backtest replays past prices. It shows how a rule would have done, not how it will do, and trading can lose money.

Related guides

Backtest NIFTY option strategies on minute data: Backtest NIFTY weekly and monthly option strategies on 1-minute data from 2019. Straddles, strangles, spreads and condors with stop losses, re-entries and charges.
Test option selling before you risk money on it: Test option selling strategies on NIFTY, BANKNIFTY, SENSEX and stock options before you risk money: straddles, strangles, spreads, condors and re-entries.
Backtest a short straddle the way you would trade it: Backtest a short straddle on NIFTY, BANKNIFTY or SENSEX. Test entry times, per-leg stop losses, move-to-cost and re-entries, with charges included.
Backtest SENSEX weekly options: Backtest SENSEX weekly option strategies on BSE minute data. Straddles, strangles and spreads with stop losses, re-entries and BSE charges.

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