I have a doubt regarding unit size per lot (Nifty) in calender option strategies.
So the thing is, when I am backtesting the calender strategies in opstra options’ options simulator, they are considering 1 lot = 75 units, be it current week or next week or next month. But in reality, only the current week options have 75 units per lot and 50 units per lot are for options of longer period. As a result, if I go exactly with the ratios as taught in calender strategies, an unit size imbalance is getting created and the strategies are not getting properly hedged.
So my question is, practically speaking, should I simply deploy these strategies as it was taught ignoring the 75-50 unit size imbalance or do I have to match the unit size? Because in certain multi-leg strategies (for example W cut) , the ratios are such that if I have to match the units, I have to increase the lot size by a considerable amount which eventually increases the margin drastically. So I just need some clarity on this.
Thanks in advance!
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