I'm trying to set up a KM Macro using a latching switch in Metagrid as a trigger. The first press (down state key command) of the button will start the macro running, the second press (up state key command) will stop the macro running. With the cursor already in place triggering the macro would select word after word in a line / paragraph / page of text (Pages Key command: shift and alt (both held) / right arrow repeated) in a Pages document until the up state was engaged.
I'm using this example as something of an academic exercise - if I can do this, it opens up a lot of other possibilities. Right now I'm struggling with held modifiers.
@noisneil's solution is perfect (as always), but not so easy to understand (for beginners like me). Therefore just think about what you want to do. You want to press and hold ⌥⇧+arrow but want to use another hotkey for it. In the simplest version, you can do this.
The advantage of the template I mentioned previously is that an additional action can be triggered on key release and mouse position can be recalled. For something as simple as highlighting words, that's probably not necessary.