AION Edge Engine — Market Intelligence Layer
A pre-trade evidence filter for Indian index options, commodities, and crude oil.
Edge Engine does not tell you what to trade. It answers a narrower question:
does the current market state carry meaningful evidence, or should you stand
down?
1. Why This Exists
Indian index options move fast. A short-horizon market state can look like a
breakout, a reversal, or a trap, and mistaking noise for signal is one of the
most expensive mistakes a trader can make.
Edge Engine exists to reduce that mistake. It is designed for calibrated trust:
it can stay silent when evidence is insufficient, and when it does produce a
tradability judgment, it exposes audit fields instead of hiding everything
behind one opaque score.
2. What Edge Engine Does
Edge Engine converts intraday market state for NIFTY, BANKNIFTY, SENSEX,
commodities, and crude oil into a structured pre-trade judgment:
- Tradable or not, based on the current evidence profile
- Expected value context and confidence-bound telemetry, exposed
separately
- Underlying-specific routing, because NIFTY, BANKNIFTY, SENSEX, and crude
oil are different markets
- Audit-ready output, preserving raw and enforced tradability fields
It does not output a brokerage instruction. It outputs context. The difference
matters.
3. Output Contract
Every public field is intended to be auditable. No model weights, training data,
or proprietary model internals are distributed through this repository.
1{
2 "edge_underlying": "nifty",
3 "edge_ev": 0.1421,
4 "edge_conf_low": 0.0314,
5 "edge_conf_high": 0.0471,
6 "edge_tradable": true,
7 "edge_tradable_raw": true,
8 "edge_motive": "model",
9 "edge_model_key": "model:edge:nifty",
10 "edge_shadow_mode": false,
11 "edge_expiry_days": 7.0
12}
| Field | Meaning |
|---|
edge_underlying | Instrument family evaluated by the engine |
edge_ev | Expected-value context surfaced by the model |
edge_conf_low | Lower confidence-bound telemetry |
edge_conf_high | Upper confidence-bound telemetry |
edge_tradable | Enforced tradability after runtime policy gates |
edge_tradable_raw | Raw model tradability preserved for audit |
edge_motive | Why the judgment was produced, such as model or policy context |
edge_model_key | Underlying-specific model key used for inference |
edge_shadow_mode | Whether the output is live-enforced or shadow/paper-validation |
edge_expiry_days | Days-to-expiry context at inference time, when applicable |
Raw tradability and enforced tradability are both preserved so integrators can
audit when runtime policy differs from the raw model judgment.
4. Why Market-State Filtering Matters
In Indian index options and commodity derivatives, very short-horizon market
states can be distorted by spread changes, expiry behavior, auction spillover,
and reaction loops. Edge Engine is designed around market-state evidence rather
than urgency. When evidence is weak, the correct output may be to stand down.
That restraint is the product: it helps suppress low-quality entries before they
reach execution logic.
5. Intended Uses
- Pre-trade filtering: run Edge Engine before existing entry logic to
suppress signals during low-evidence market states
- Regime awareness: monitor expected-value and confidence-bound telemetry to
understand when conditions are improving or degrading
- Audit and post-trade analysis: compare raw and enforced tradability
decisions against later outcomes
- Paper validation: use shadow-mode outputs to evaluate behavior before live
enforcement
6. Out-of-Scope Uses
- Blind execution as a standalone trade signal
- Exact price prediction or directional forecasting
- Compliance, suitability, or investment-advice decisions
- Markets outside the supported Indian-market scope
- Sub-market-state scalping or ultra-low-latency execution
7. Limitations
- Edge Engine scores contextual tradability; it does not predict exact direction
or magnitude.
- Sudden structural breaks may not be fully reflected until the current market
state is observed by the system.
- Historical relationships can weaken during regime shifts, regulatory changes,
or liquidity shocks.
- Non-index coverage can carry wider confidence bounds than the most liquid
index markets.
- Shadow-mode outputs are for paper validation and audit, not live decision
authority.
8. Deployment, Access, and Citation
AION Edge Engine is an API-first system. Model weights are not publicly
distributed. Production access is through the managed AION API.
Freemium access includes selected AION market-intelligence surfaces. Edge Engine
and broader multi-index access are available through API subscription. Requests
are metered; over-quota requests are rejected by the managed API.
If you integrate Edge Engine, monitor:
- Whether stand-down decisions avoided chop, reversals, or false breakouts
- Whether tradable decisions align with your own entry criteria
- Differences between
edge_tradable_raw and edge_tradable
- Confidence-bound behavior over time
1@software{aion_edge_engine_2026,
2 author = {AION Analytics},
3 title = {AION Edge Engine — Market Intelligence Layer for Indian Index Options},
4 year = {2026},
5 url = {https://huggingface.co/AION-Analytics/aion-edge-engine}
6}
