ZT-3 Trading System

An algorithmic trading system implementing the Gaussian Channel Strategy for Indian equities using the Upstox API.

Overview

ZT-3 is a Python-based trading system that uses the Gaussian Channel Strategy with Stochastic RSI and Volume filters to identify trading opportunities in liquid Indian equities.

Core Strategy

• 5-minute candlestick data analysis
• Gaussian Channel indicators (period: 144, multiplier: 1.2)
• Stochastic RSI(14,14,3) for signal confirmation
• Take-profit at 4.0x ATR
• Exit on close crossing below Gaussian filter line

Target Markets

• Liquid Indian equities in affordable price range (₹50-₹150)
• Initial focus on PNB with capability to expand to multiple stocks

System Architecture

├── config/           # Configuration files
├── data/             # Market data module
├── strategy/         # Signal detection and strategy logic
├── broker/           # Order execution engine
├── paper_trading/    # Paper trading simulation module
├── interface/        # CLI interface
├── utils/            # Utilities, logging, notifications
├── backtest/         # Backtesting framework
└── main.py           # Application entry point

Key Features

• Fully configurable strategy parameters
• Paper trading simulation with realistic slippage
• Live trading through Upstox API
• Discord notifications for trade alerts and system status
• Comprehensive backtesting framework
• Multi-symbol trading capability

Setup and Configuration

1. Install dependencies:

   pip install -r requirements.txt
   

2. Set up configuration in config/settings.yaml:

   • API credentials
   • Target symbols
   • Strategy parameters
   • Risk management settings
   • Notification preferences

Running the System

Start the trading system:

python main.py --mode paper  # For paper trading mode
python main.py --mode live   # For live trading mode

Risk Management

• Uses approximately 95% of available capital per trade
• Maximum daily loss limit and maximum trades per day
• Automatic end-of-day position closing
• Circuit breaker for unusual market conditions

Technology Stack

• Python 3.10+
• Upstox API for market data and order execution
• Discord webhooks for notifications