BOSCHLTD - AXISBANK Pair Analysis

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End-of-day divergence (Standardized residual) is 1.18.
Half life of pair is -23.9.
Real time (live) divergence is calculating using following formula:
[axisbank_price - (0.0269 * boschltd_price) - 1.13]/39.5

(where 1.13 is mean error and 39.5 is standard error)
Technical strength of BOSCHLTD is 5. (Support & Resistance)
Technical strength of AXISBANK is 6.9. (Support & Resistance)
Recommendation
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Entry Criterion: Take positions when divergence becomes (+/-)2.0. And exit positions when divergence becomes (+/-)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
January 25, 2018 19951.2 141400.0 551.0 588.0 19954.25
February 22, 2018 19985.05 3250.0 32.0 32.0 19954.25
March 28, 2018 19970.0 75.0 2.0 2.0 19954.25
Lot size: 25.0.

AXISBANK Futures - NSE

Expiry Date Close Price Open Interest Number of Trades No of Contracts Underlying Closing Price
January 25, 2018 586.1 50419200.0 17764.0 21143.0 585.2
February 22, 2018 588.8 1872000.0 1195.0 1302.0 585.2
March 28, 2018 589.85 67200.0 16.0 18.0 585.2
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 2.5, Total Profit 122403.983108
Time Frame 3months, Entry Threshold 2, Stop Loss Threshold 3, Total Profit 115872.870623
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2.5, Total Profit 74025.8048283
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2, Total Profit 71919.3553786
Time Frame 1year, Entry Threshold 2, Stop Loss Threshold 3, Total Profit 57412.954975