BOSCHLTD - AXISBANK Pair Analysis

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End-of-day divergence (Standardized residual) is -0.626.
Half life of pair is 6.5.
Real time (live) divergence is calculating using following formula:
[axisbank_price - (0.0222 * boschltd_price) - 0.495]/19.3

(where 0.495 is mean error and 19.3 is standard error)
Technical strength of BOSCHLTD is 6.1. (Support & Resistance)
Technical strength of AXISBANK is 7. (Support & Resistance)
Recommendation
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Entry Criterion: Take positions when divergence becomes (+/-)2.0. And exit positions when divergence becomes (+/-)0.0.
Stop Loss: Put your stop loss when divergence becomes more than 3.0 or less than -3.0. We suggest you always use stop losses.
Note: When you trade in futures, keep in mind the expiry date of futures as divergence might not end before expiry date.
Click here to see all recommendations for pair boschltd-axisbank.
Analyse any other pair:

How to choose pairs?
Choose stocks from same sector/subsector.
Use stock with large market capitalization as first stock.
Here is a list of pairs chosen analytically.

Charts

BOSCHLTD Futures - NSE
Expiry Date Close Price Open Interest Number of Trades No of Contracts Underlying Closing Price
June 29, 2017 23698.0 104350.0 1387.0 1565.0 23606.3
Lot size: 25.0.

AXISBANK Futures - NSE

Expiry Date Close Price Open Interest Number of Trades No of Contracts Underlying Closing Price
June 29, 2017 514.05 40206000.0 11049.0 12299.0 511.45
July 27, 2017 511.1 492000.0 173.0 194.0 511.45
August 31, 2017 504.8 2400.0 1.0 2.0 511.45
Lot size: 1200.0.
Click here for backtesting results.

BOSCHLTD-AXISBANK Analysis with different time frames and thresholds

Time Frame 3months, Entry Threshold 2, Stop Loss Threshold 3, Total Profit 109842.640273
Time Frame 3months, Entry Threshold 2, Stop Loss Threshold 2.5, Total Profit 103687.730883
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2.5, Total Profit 61505.9656236
Time Frame 1year, Entry Threshold 2, Stop Loss Threshold 3, Total Profit 60132.8855752
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2, Total Profit 59399.5161739