TATAGLOBAL - BANKINDIA Pair Analysis

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End-of-day divergence (Standardized residual) is 0.036.
Half life of pair is 20.8.
Real time (live) divergence is calculating using following formula:
[bankindia_price - (1.01 * tataglobal_price) - -0.388]/18.4

(where -0.388 is mean error and 18.4 is standard error)
Technical strength of TATAGLOBAL is 4. (Support & Resistance)
Technical strength of BANKINDIA is 3. (Support & Resistance)
Recommendation
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Entry Criterion: Take positions when divergence becomes (+/-)1.5. And exit positions when divergence becomes (+/-)0.0.
Stop Loss: Put your stop loss when divergence becomes more than 2.0 or less than -2.0. 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 tataglobal-bankindia.
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

TATAGLOBAL Futures - NSE
Expiry Date Close Price Open Interest Number of Trades No of Contracts Underlying Closing Price
June 29, 2017 147.35 30721500.0 1116.0 1170.0 146.9
July 27, 2017 148.5 108000.0 5.0 6.0 146.9
Lot size: 4500.0.

BANKINDIA Futures - NSE

Expiry Date Close Price Open Interest Number of Trades No of Contracts Underlying Closing Price
June 29, 2017 148.1 20472000.0 3140.0 3389.0 148.65
July 27, 2017 146.0 606000.0 34.0 42.0 148.65
Lot size: 6000.0.
Click here for backtesting results.

TATAGLOBAL-BANKINDIA Analysis with different time frames and thresholds

Time Frame 3months, Entry Threshold 1.5, Stop Loss Threshold 2, Total Profit 70217.5137036
Time Frame 3months, Entry Threshold 1.5, Stop Loss Threshold 2.5, Total Profit 55565.631366
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2, Total Profit 28327.0218876
Time Frame 1year, Entry Threshold 2.5, Stop Loss Threshold 3, Total Profit 27986.2696196
Time Frame 1month, Entry Threshold 1.5, Stop Loss Threshold 2.5, Total Profit 16926.1479071