1. Buy positions we do not close, only sell gets closed as we cannot carry sell positions overnight.
2. In this case we have JSL buy positions worth 10K, so in the evening after market closes we check if the Zscore is above 2.0, in this case it is 1.31, so for tomorrow we will not buy JSL but will only keep MOIL SL-Sell order worth 10K.
3. If zscore raises above 2.0 in coming days we take new trades in increment of 10K, i.e we will buy JSL again with SL-BUY order for another 10k worth stocks so that our total position is of 20K, but we will keep SL-SELL for MOIL for stocks worth 20K.
Idea is to average the price of the buy stocks when the zscore goes above 2.0 on daily basis and keep sell order for the other stock for the same amount.
2. In this case we have JSL buy positions worth 10K, so in the evening after market closes we check if the Zscore is above 2.0, in this case it is 1.31, so for tomorrow we will not buy JSL but will only keep MOIL SL-Sell order worth 10K.
3. If zscore raises above 2.0 in coming days we take new trades in increment of 10K, i.e we will buy JSL again with SL-BUY order for another 10k worth stocks so that our total position is of 20K, but we will keep SL-SELL for MOIL for stocks worth 20K.
Idea is to average the price of the buy stocks when the zscore goes above 2.0 on daily basis and keep sell order for the other stock for the same amount.