Yes, you can backtest on Zerodha. Open a ChartIQ chart in Zerodha Kite, add a supported indicator and select the Streak icon. This runs Chart to Backtest (CTB), powered by Streak, on historical data, on both Kite web and the Kite app.
Testing an options strategy instead of a chart indicator? Sign up free on AlgoTest and backtest straddles, strangles and spreads on years of Nifty data.
A Reliance share-price chart can help you test a moving average. A 9:20 Nifty short straddle asks a different question: what happened to the call and put premiums after entry? To answer it, you need the strike, expiry and exit price for each leg.
How to Backtest a Chart Strategy on Zerodha Kite
Open the instrument. For this example, select RELIANCE on NSE in your Kite watchlist and open its chart.
Choose ChartIQ. If you already use ChartIQ, continue with the open chart. On Kite web, click your user ID, select your name, then scroll to the chart preference. On mobile, tap your user ID, open Settings and select ChartIQ.
Set up a simple test. Choose 15-minute candlesticks and add a 20-period simple moving average. Each point on that line averages the closing prices of the last 20 candles.
Select the Streak icon. Review the entry and exit conditions in the generated backtest. For example, “price closes above the average” can stay true for several candles, while “price crosses above the average” happens only when price moves from one side to the other. Check which rule produced your trades.
Inspect the results. Start with the number of trades, average gain, average loss and maximum drawdown. Then trace one winning trade and one losing trade back to the chart. If the entries differ from what you expected, revisit the rule before you read the return.
Want every leg, stop-loss and exit in one report? Run an options backtest on AlgoTest and see net P&L after charges and slippage.
Why Did Streak Test a Different Setup?
Kite can return a result even when a chart setting is unsupported. Check these three things if your backtest looks unfamiliar.
Zerodha keeps the full list on its Chart to Backtest help page.
Can You Backtest Nifty Options With Zerodha?
Yes. Streak supports options strategies. When you read a result, check which contract the test traded. A moving-average crossover on Nifty can trigger a call purchase, but the call’s entry and exit premiums decide the P&L. Two calls on the same index can give different results if their strikes or expiries differ.
The same question applies when you review a published strategy, such as one from a SEBI-registered research analyst on RA Algos: which contract does the rule buy or sell, and when does it close?
Top 6 Backtesting Software for Options Trading in India
Worked Example: Backtest a 9:20 Nifty Short Straddle
A short straddle sells a call and a put at the same strike and expiry. To try this example, choose a time-based intraday strategy in AlgoTest Backtest, enter the settings below, select the date range and run the test. The time and stop settings follow AlgoTest’s 9:20 straddle walkthrough.
How to check one trade by hand. Suppose the call sells for 100 points and the put for 90. Their stop levels are 125 and 112.50. If the call exits at 125, it loses 25 points. If the put stays open and exits at 55, it earns 35 points. Together, the legs make 10 points per unit before costs. These are illustrative premiums, and the historical backtest will supply its own fills.
In the report, open a session where one stop triggered. Check whether the other leg stayed open until its own stop or the scheduled exit. Then review net P&L after brokerage, exchange charges, taxes and your slippage assumption.
For a short straddle, a high win rate can sit alongside a large drawdown. Read both before you extend the test to a longer period.
Check out the best brokers for Algo Trading in India
Test the Contract, Not Just the Chart
A chart backtest tells you how an indicator signal behaved on one instrument. An options strategy also needs the strike, expiry, stop-loss and exit for every leg before the result means anything. Write those rules down, then check them on past data and in live markets before you trade them.
AlgoTest lets you backtest time-based options strategies leg by leg, so you can inspect every entry, stop and exit before deciding whether to deploy.
Join us as we simplify algo trading in India.
Related Reading
How to Backtest Algo Trading Strategies: Intraday, BTST, Positional and More
Short Straddle Strategy: Payoff, Breakeven, Risks and Nifty Example
FAQs
Is backtesting free on Zerodha?
Zerodha clients can use Streak at no extra subscription cost under a fair-usage policy. Zerodha’s ChartIQ help page still mentions a limit of ten chart backtests per day, so check the limit shown in your account if you reach it.
Can I backtest on the Zerodha Kite mobile app?
Yes. Select ChartIQ in your app settings, open the chart, add your indicator and tap the Streak icon.
Do I need to write code to backtest on Zerodha?
No. Chart to Backtest builds conditions from the supported indicators on your chart. Check those conditions against the entry and exit rules you meant to test.
Can I backtest BSE stocks with Chart to Backtest?
No. Zerodha excludes the BSE and BSE Currency segments from Chart to Backtest, so use NSE charts for your tests.