Indeed, this paper will discuss various strategies, and approaches of
algorithmic trading with a view to making profits through data analysis. It introduces
the way of operations in terms of mathematical models and logical approaches to
gather and evaluate the information about investment potentialities. Hence, another
contribution of this study is the analysis of these models and techniques in the context
of the Indian market with regard to SEBI regulation. The paper also expands on the
role of adopting blockchain technology within algorithmic trading to reduce opacity,
increase security, and optimize its running. This study informs on how blockchain can
transform trading strategies in India’s regulatory environment when used through smart
contracts, DEXs, tokenization of assets, write-once ledgers, and real-time clearing. The
results highlight the radical evolution of applying algorithmic trading coupled with
blockchain to the new generation of more complex financial platforms for India.
Keywords: Algorithmic trading, Backtesting, Blockchain technology, CAGR, Calmar Ratio, Delta variations, Data analysis, Data scrubbing, Derivative market, Risk-to-reward ratio.