TBO Tek Ltd. (TBOTEK)

Date Range: 2026-03-23 to 2026-06-23 | Starting Capital: ₹100,000

Symbol-Specific Risk & Execution Parameters

These execution parameters have been optimized specifically for TBOTEK based on historical volatility, structural character, and friction constraints:

• ATR Stop Distance (max_stop_atr): 1.50x ATR
• Minimum Reward-to-Risk Ratio (min_reward_risk): 1.20R
• Friction Buffer Target (friction_min_target_pct): 0.03%
• Positional Holds Allowed (allow_positional_hold): True

[!WARNING]

Offline Daily Macro Data Missing: The macro and multi-horizon outlook sections were omitted because local daily price data was not found.

Executive Summary

Model Backtest & Validation Summary

To validate the conviction score recommendations, the system ran historical simulation backtests for TBOTEK under institutional execution assumptions:

What Changed Since Previous Report?

• Initial Run / Baseline: No previous report was found for this symbol to perform comparative validation. This report establishes the baseline parameters.

Actionable Trading Guidance

Direct Stock Setup Outlook

No active intraday setup detected for the next session.

⌥ Options Strategy Recommendation

Recommended Vehicle: Iron Condor

Reason: Volatility-adjusted options edge (EV/Risk Ratio of 2.891) with defined risk and high capital efficiency (7.0% expected return on margin), utilizing the stock's 41.4% Implied Volatility Rank.

[!IMPORTANT]

Options Risk & Invalidation Warning: Recommending options strategies involves high leverage and the risk of rapid capital loss due to time decay (theta) and volatility changes (vega). The maximum risk of the recommended options vehicle is capped at ₹282.27. Ensure you understand contract mechanics, bid-ask spreads, and exercise rules before allocating capital.

• Volatility Dashboard: Realized Vol (RV): 40.4% | Implied Vol (IV): 41.8% | IV Rank: 41.4% | IV Percentile: 78.9%
• Directional Probabilities: P(up): 10% | P(down): 10% | P(flat): 80%
• Expected Return Distribution: Median: +0.46% (10th: -15.33%, 90th: +14.11%) | Expected Move: 0.00 ATR

Expected Value (EV) Payoff Matrix:

Systematic Execution Plan (Generic Framework)

• Stop Loss: 1.5 × ATR from entry
• Profit Targets: Target 1 (1R) for 50% scale-out, trail remainder.

Expected Outcomes & Suitability

Expected 1 Month Outcome

• Bullish: 10.0%
• Neutral: 80.0%
• Bearish: 10.0%

Expected Return Range

• Median: +0.46%
• 25th percentile: -4.94%
• 75th percentile: +7.83%

Portfolio Suitability

Suitable For:

• None

Not Suitable For:

• ✗ Swing Traders
• ✗ Positional Traders
• ✗ Long-Term Growth Investors
• ✗ Income Investors
• ✗ Low Volatility Portfolios
• ✗ Growth Investors

Sector & Regime Context

• Sector: Consumer Services
• Sector Strength: 0.7/10
• Relative Strength: -13.11% vs NIFTY
• Sector Rank: 18 of 19 sectors
• Structural Regime: RANGE
• Tactical Setup Focus: Range Mean Reversion, Failed Breakout Reversal, Directional Change Overshoot, Bollinger Band Reversal, Volume Capitulation Reversal, PDH/PDL Breakout, Opening Gap Fade

Conviction Score Breakdown:

• 1. Technical Setups: +0.0 / 35 (No active technical setup and no strong daily momentum structure)
• 2. Fundamentals: +20.0 / 25 (Steady business growth structure (Grade B))
• 3. Sector Context: +1.5 / 20 (Sector Strength: 0.7/10 (Consumer Services))
• 4. Regime & Momentum: +12.5 / 20 (Daily candle close location: +2.5 pts (50% of range), Market in low-volatility/range regime RANGE: +5.0 pts, VIX is 13.5 (Low volatility/risk): +5.0 pts)

Conviction Rating System Matrix:

Fundamental Analysis & Annual Guidance

• Valuation: Trailing P/E: 64.3 | Forward P/E: N/A | PEG Ratio: N/A | Price/Book: 10.03
• Business Growth: Revenue YoY: 0.83% | Quarterly EPS: 0.02% | ROE: N/A
• Risk & Dividend: Beta: 0.79 | Dividend Yield: N/A | Book Value: 129.68
• Investment Grade: Grade B (Accumulate)
• Recommendation: Business is growing steadily. Consider accumulating on technical pullbacks. High-stability defensive profile (Beta: 0.79).
• Annual Entry Guidance: Do not chase breakouts. Accumulate gradually exclusively during market corrections or pullbacks to the 50-day and 200-day SMAs.
• Annual Exit Guidance: Liquidate if earnings growth turns negative, or if the broader market regime turns structurally bearish (NIFTY loses 200 SMA).

Historical & Simulation Evidence

Direct Stock Performance (Cash Equity)

Intraday (Close at 15:20)

<div style="color: #64748b; font-style: italic;" class="low-reliability-block">

• Trades: 5 | Win Rate: 0.0% (n=5) - Exploratory | Net PnL: ₹-4,579.35
• Ending Cash: ₹95,420.65 | Max Drawdown: ₹4,579.35 (4.6%)
• Profit Factor: 0.00 | Sortino Ratio: -0.90 | Expectancy: ₹-915.87/trade

</div>

Positional (Hold Overnight)

<div style="color: #64748b; font-style: italic;" class="low-reliability-block">

• Trades: 7 | Win Rate: 14.3% (n=7) - Exploratory | Net PnL: ₹-5,168.25
• Ending Cash: ₹94,831.75 | Max Drawdown: ₹5,168.25 (5.2%)
• Profit Factor: 0.24 | Sortino Ratio: -0.66 | Expectancy: ₹-738.32/trade

</div>

Buy & Hold Benchmark Performance (Buy on Day 1, Hold to End)

• Strategy: Buy & Hold | Net Return: 43.37% | Net PnL: ₹43,369.35
• Ending Cash: ₹143,369.35 | Max Drawdown: ₹12,150.62 (-12.15%)
• Entry Price: ₹1018.00 | Exit Price: ₹1459.50

Performance Comparison: Buy & Hold outperformed Trading by ₹47,948.70 (steady long-term appreciation beat friction/filtering rules under the simulated period).

• Best Strategy: Mean Reversion (Theta-Decay Trap Net PnL: +₹1,572.37)

Signal Frequency Breakdown:

• Overnight Premium: ~0.7 signals/month (Win Rate: 0%, n=2)
• RS Leadership Breakout: ~2.7 signals/month (Win Rate: 0%, n=8)
• Theta-Decay Trap: ~0.7 signals/month (Win Rate: 50% (Pass), n=2)

Portfolio Statistics (Combined)

Advanced Statistical Inference

Performance by Setup (Cash Equity)

Strategy Backtest Performance Matrix (Futures & Options)

Historical performance of all candidate derivative, leverage, and hedged strategies over the same setups:

For granular trade logs, see TBOTEK_signals.csv in this folder.