diff --git a/BTP-STACK-ANALYZER-F3.py b/BTP-STACK-ANALYZER-F3.py
new file mode 100644
index 0000000..e565d63
--- /dev/null
+++ b/BTP-STACK-ANALYZER-F3.py
@@ -0,0 +1,163 @@
+#!/usr/bin/env python3
+# SPDX-License-Identifier: Apache-2.0
+"""Smoke test for CoreTrace compiler instrumentation flags.
+
+This script compiles and runs a tiny C program with the CoreTrace compiler
+using different combinations of the --ct-trace / --ct-alloc / --ct-bounds
+flags. It is intended to quickly verify that the compiler and runtime still
+behave correctly for common instrumentation setups.
+"""
+
+from __future__ import annotations
+
+import argparse
+import os
+import shutil
+import subprocess
+import sys
+import tempfile
+from pathlib import Path
+from typing import List, Sequence, Tuple
+
+
+RESET = "\033[0m"
+GREEN = "\033[32m"
+RED = "\033[31m"
+PURPLE = "\033[35m"
+BOLD = "\033[1m"
+
+
+def repo_root() -> Path:
+    return Path(__file__).resolve().parent
+
+
+def default_compiler() -> Path:
+    candidates = [repo_root() / "build" / "cc", repo_root() / "cc"]
+    for candidate in candidates:
+        if candidate.exists() and os.access(candidate, os.X_OK):
+            return candidate
+    if shutil.which("cc"):
+        return Path(shutil.which("cc") or "cc")
+    raise FileNotFoundError("Unable to find a CoreTrace compiler binary. Expected ./build/cc or ./cc.")
+
+
+def build_source() -> str:
+    return r"""
+#include <stdio.h>
+#include <stdlib.h>
+
+int add(int a, int b) {
+    return a + b;
+}
+
+int main(void) {
+    int *p = malloc(sizeof(int) * 2);
+    if (!p) {
+        return 1;
+    }
+    p[0] = add(1, 2);
+    p[1] = add(3, 4);
+    printf("%d %d\n", p[0], p[1]);
+    free(p);
+    return 0;
+}
+"""
+
+
+def colorize(text: str, color: str) -> str:
+    return f"{color}{text}{RESET}"
+
+
+def contains_warning(output: str) -> bool:
+    return "warning" in output.lower()
+
+
+def run_case(
+    compiler: Path,
+    flags: Sequence[str],
+    workdir: Path,
+    verbose: bool,
+    expect_no_warnings: bool = False,
+) -> Tuple[bool, str]:
+    source_path = workdir / "ct_smoke.c"
+    binary_path = workdir / "ct_smoke"
+    source_path.write_text(build_source(), encoding="utf-8")
+
+    command = [str(compiler), "--instrument", *flags, "-o", str(binary_path), str(source_path)]
+    if verbose:
+        print("$", " ".join(command))
+
+    compile_proc = subprocess.run(command, cwd=repo_root(), capture_output=True, text=True)
+    if compile_proc.returncode != 0:
+        combined_output = (compile_proc.stdout or "") + (compile_proc.stderr or "")
+        return False, combined_output
+
+    run_proc = subprocess.run([str(binary_path)], cwd=repo_root(), capture_output=True, text=True)
+    output = (run_proc.stdout or "") + (run_proc.stderr or "")
+    if run_proc.returncode != 0:
+        return False, output
+
+    if expect_no_warnings and contains_warning(output):
+        return False, output
+
+    return True, output
+
+
+def parse_args() -> argparse.Namespace:
+    parser = argparse.ArgumentParser(description="Smoke-test CoreTrace --ct-trace/--ct-alloc/--ct-bounds flags")
+    parser.add_argument("--compiler", type=Path, default=None, help="Path to the CoreTrace compiler binary")
+    parser.add_argument("--verbose", action="store_true", help="Print each compile/run command")
+    return parser.parse_args()
+
+
+def main() -> int:
+    args = parse_args()
+    compiler = args.compiler or default_compiler()
+    if not compiler.exists():
+        print(f"Compiler not found: {compiler}", file=sys.stderr)
+        return 2
+
+    print(colorize(f"Using compiler: {compiler}", BOLD))
+    print(colorize("Running smoke tests for CoreTrace instrumentation flags...", BOLD))
+    print("")
+
+    cases: List[Tuple[Sequence[str], str, bool]] = [
+        ([], "NONE", True),
+        (["--ct-trace"], "--ct-trace", False),
+        (["--ct-alloc"], "--ct-alloc", False),
+        (["--ct-bounds"], "--ct-bounds", False),
+        (["--ct-trace", "--ct-alloc"], "--ct-trace --ct-alloc", False),
+        (["--ct-trace", "--ct-bounds"], "--ct-trace --ct-bounds", False),
+        (["--ct-alloc", "--ct-bounds"], "--ct-alloc --ct-bounds", False),
+        (["--ct-trace", "--ct-alloc", "--ct-bounds"], "--ct-trace --ct-alloc --ct-bounds", False),
+    ]
+
+    passed = 0
+    with tempfile.TemporaryDirectory(prefix="ct-smoke-", dir=str(repo_root() / "build")) as tmpdir:
+        workdir = Path(tmpdir)
+        for idx, (flags, case_name, expect_no_warnings) in enumerate(cases, 1):
+            print(colorize("-" * 40, PURPLE))
+            print(colorize(f"[{idx}/{len(cases)}]", BOLD) + f" Case: {case_name}")
+            source_name = (workdir / "ct_smoke.c").name
+            print(colorize("Source file:", PURPLE) + f" {colorize(source_name, PURPLE)}")
+
+            ok, output = run_case(compiler, flags, workdir, verbose=args.verbose, expect_no_warnings=expect_no_warnings)
+            if ok:
+                passed += 1
+                print(colorize(f"PASS  {case_name}", GREEN))
+                if output.strip():
+                    print(output.strip())
+            else:
+                print(colorize(f"FAIL  {case_name}", RED))
+                if output:
+                    print(output)
+                print("")
+                return 1
+            print("")
+
+    print(colorize(f"All {passed}/{len(cases)} smoke tests passed.", GREEN))
+    return 0
+
+
+if __name__ == "__main__":
+    sys.exit(main())
diff --git a/ISSUE_BTP_STACK_ANALYZER_F3.md b/ISSUE_BTP_STACK_ANALYZER_F3.md
new file mode 100644
index 0000000..dd9c24a
--- /dev/null
+++ b/ISSUE_BTP_STACK_ANALYZER_F3.md
@@ -0,0 +1,49 @@
+# Issue: Add smoke coverage for CoreTrace instrumentation flags
+
+## Context
+
+We added a standalone Python smoke-test script for the CoreTrace compiler instrumentation flags. The goal is to validate that the compiler can build and run a small C program across the common flag combinations:
+
+- no instrumentation flag
+- `--ct-trace`
+- `--ct-alloc`
+- `--ct-bounds`
+- pairwise flag combinations
+- all three flags together
+
+The script resolves the compiler from `./build/cc` or `./cc`, compiles a temporary C source, executes the result, and reports each case independently.
+
+## Files
+
+| File | Status | Commit message |
+| --- | --- | --- |
+| `BTP-STACK-ANALYZER-F3.py` | New smoke-test utility | `test: add CoreTrace instrumentation flags smoke test` |
+| `ISSUE_BTP_STACK_ANALYZER_F3.md` | New issue/documentation file | `docs: document CoreTrace instrumentation smoke-test issue` |
+| `build/` | Local CMake build artifacts; do not commit | No commit message; keep this directory out of source commits |
+
+## Architecture note
+
+The smoke coverage is kept as a standalone script instead of being mixed into the C++ runtime or instrumentation code. This keeps the validation layer separate from production code, avoids hard-coded instrumentation internals, and makes the test useful as a quick local regression check against any compiler binary path.
+
+The script uses temporary build inputs under `build/` so it does not pollute the repository root. The flag matrix is explicit because the behavioral surface is small and the cases are easier to audit than a generated combinator loop when diagnosing failures.
+
+## Acceptance criteria
+
+- The script can locate a CoreTrace compiler binary from `./build/cc`, `./cc`, or `--compiler`.
+- Each supported flag combination compiles the generated C smoke source.
+- Each generated binary executes successfully.
+- The no-instrumentation case remains warning-free.
+- Generated temporary files are cleaned automatically.
+- `build/` artifacts are not included in commits.
+
+## Validation command
+
+```sh
+python3 BTP-STACK-ANALYZER-F3.py --verbose
+```
+
+## Suggested commit split
+
+1. `test: add CoreTrace instrumentation flags smoke test`
+2. `docs: document CoreTrace instrumentation smoke-test issue`
+